Short Sellers Blink as Leveraged Bitcoin Bear ETF Sees Major Outflow
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The T-Rex 2X Inverse Bitcoin Daily Target ETF, ticker BTCZ, recorded a sharp outflow of $1,011,480 on December 29, 2025, a sizeable 8.33% of its latest reported assets under management of $12.14 million. The move suggests a meaningful shift in positioning among traders who had been using the leveraged inverse product to bet against Bitcoin’s price.
Such a large single-day redemption, relative to the fund’s size, hints that a portion of bearish speculators may be scaling back or taking profits after an extended period of volatility in the underlying crypto market. For a 2x inverse ETF, flows can quickly amplify sentiment turns, as investors respond not only to spot price moves but also to the increased risks of holding leveraged exposure over time.
The related asset, BTC-USD, is currently trading at $87,865.50. Over the past three months, Bitcoin has fallen 23.18%, underscoring the challenging backdrop for bulls even as some short-side positioning appears to be easing. On a shorter horizon, the 1-day technical signal for Bitcoin is flashing a cautious Hold, reflecting a market that is consolidating rather than committing to a clear next leg up or down.
If outflows from BTCZ persist, they could point to a broader reassessment of aggressive downside bets on Bitcoin, particularly among tactical traders who favor leveraged products. For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.