The crypto market grew cautiously as the prices of Bitcoin and Ethereum fell amid growing concerns about institutional flows and network fundamentals. Bitcoin’s recent decline was below $70,000 appears to be closely related to changes in demand for its exchange-traded fund (ETF). Meanwhile, The price of Ethereum dropped below 2000 dollars amid sharp criticism of its token economy and long-term sustainability, and top market researchers are shorting it when predicting a possible collapse.
When the ETF is flowing, the price of Bitcoin falls
Bitcoin price is currently trading near $67,000 after falling more than 3% in the last 24 hours, according to CoinMarketCap. The latest decline follows a sudden shift in institutional demand for Spot Bitcoin ETFs, which have been the main driver of market acceleration since their launch in 2024.
Information from SoSo Value shows that Spot Bitcoin ETFs recorded a surprising outflow of nearly $228 million on Thursday, March 5, ending a three-day inflow that had brought in nearly $1.1 billion earlier in the week. Returns as they come feelings subsided despite a brief rally above $73,000, it underscores the broader market’s fear and uncertainty.
It is worth noting that ETF withdrawal moved to the next day and took in over $348.8 million on Friday alone. While March 2-4 had initially recorded total net assets of more than $94.57 billion, the number has since dropped to $87.07 billion.
Along with the exit from Spot Bitcoin ETFs, the broader market sell-off has emerged as a key factor behind Bitcoin’s recent decline. On Friday, Major BTC holders sold in large volumes. In addition, reports reveal that top cryptocurrency exchanges such as Binance and Coinbase are selling bitcoin, further putting pressure on leading cryptocurrencies.
As geopolitical tension is intensifying and market volatility continues to rise, the next direction of Bitcoin’s price remains uncertain. That’s why analysts like Michael van de Poppe maintain a bearish outlook. to predict for BTC will drop from $60,000 to $48,000.
Ethereum price weakens amid token economy
The price of Ethereum also fell below the key psychological level of $2,000 and is now trading slightly above $1,900. This decline comes at a time when negative sentiment is growing around cryptocurrency and the economic structure of its network.
A recent report from short-selling firm Culper Research warns that Ethereum may then enter a “death spiral”. December 2025 Fusaka Update. According to the report, the update expanded block capacity faster than actual demand, leading to blocks full of low-value transactions and spam. The company also criticized Ethereum’s founder, Vitalik Buterin, to sell ETH and Fundstrat co-founder Tom Lee dismisses Ethereum’s new reality as “clueless.”
Culper Research highlighted that Fusaka’s update weakened Ethereum’s tokenonomics by reducing transaction fees and reducing validator revenue and staking yields. The company also noted growth poisoning attackswhere attackers send small transactions to wallets to trick users into sending funds to fraudulent addresses. They estimate that victims have lost at least $87 million in just three months after the Fusaka Ethereum upgrade.
In light of these bearish developments, Culper Research has announced that they are “shorting the air.” The company also called ETH a “broken token” and predicted that holders will have little economic value in the future.
Featured image from Unsplash, chart from TradingView
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