Key insights
- Assessing the impact of ETFs on Bitcoin price action in 2025. A snippet of how ETFs have changed the crypto market landscape.
- Bitcoin price on track to conclude Q4 2025 as the most bearish quarter since before the FTX collapse. Here’s what this reveals about accumulation in the months ahead.
- Davinci Jeremie’s prediction that silver would outperform Bitcoin is already taking shape.
Spot Bitcoin ETF activity played a critical role in the cryptocurrency’s performance this year. But just how deep does that impact go, looking back at the market’s performance in the last 12 months?
Bitcoin ETF approvals started trickling in as early as January 2024. Nevertheless, the level of flows and volumes in 2025 reached the critical mass necessary to influence Bitcoin price movements.
However, this observation has also raised concerns that Bitcoin ETF flows might signal institutional manipulation. BTC ETF flows have recently leaned in favor of outflows, which may be suppressing any expected upside.
Bitcoin ETF activity may also explain why the king of cryptocurrencies maintained a significant degree of correlation with the S&P 500. Institutional liquidity executed similar strategies they use in stock market investments.
The amount of institutional liquidity in Bitcoin cooled down from over $163 billion at its peak in October to $116 billion at the time of observation.
Bitcoin ETF flows maintained a negative trend in December. So far, it has had only 7 days of positive flows. ETFs have experienced continuous outflows since 18 December.
Whale and Bitcoin ETF Sell Pressure Set the Pace for a Bearish Q4
Spot Bitcoin ETF holders acted as net sellers in Q4, which contributed to the cryptocurrency’s struggle to maintain a bullish position. This was also due to weak demand and high uncertainty levels in the markets, which led to spoofing investors.
But just how bearish has the situation been? Price data revealed that the Bitcoin price has so far tanked by about 23% from its Q3 opening price. It was on track to be the most bearish quarter of 2024.
The last time that Bitcoin price experienced such a sharp quarterly drop was in Q2 2022. This was during the same year that the Terra LUNA stablecoin meltdown and the FTX collapse happened.
In 2025, the Q4 crash occurred due to macroeconomic influences, as well as heavy liquidations, which severely eroded investor confidence.
A Bitcoin evangelist makes an interesting prediction that silver will outperform Bitcoin. Davinci Jeremie revealed during a recent interview that silver will outperform Bitcoin next year.
He noted that the metal had been intentionally subdued previously. Silver price surged as high as 79 in the last 24 hours after a robust weekly uptick. I was on track to secure its biggest quarterly jump by as much as 70%.
Jeremie predicted that the silver price could rally above $100. The metal has been closing that gap, but was already deeply overbought in the larger and smaller timeframes. This suggests that a cooling off could be on the cards.
Some analysts believe that the silver and gold rallies could be precursors to a liquidity rotation that could favor crypto in 2026. Bitcoin ETF flows may be the ideal signal for this.
If rotation commences, then BTC ETFs will likely start buying aggressively, which could send the markets into a sharp recovery. For now, the market continues to favor commodities that are historically considered safe-haven assets.
The observation further hints that a shift in market sentiment in favor of confidence could be the signal the market needs for liquidity rotation.
Source: https://www.thecoinrepublic.com/2025/12/27/bitcoin-etfs-impact-assessment-on-btc-price-in-2025/
