Bitcoin heads for fourth annual decline as spot ETFs see over $5.2B outflows and liquidity thins

Bitcoin is on track for a fourth yearly decline and its first major pullback not accompanied by a scandal or systemic industry crash, as institutional participation expands and the regulatory backdrop matures, Bloomberg reports on December 17. After climbing above $126,000 to a record high in early October, the token has since retreated sharply, with trading volumes muted and investors pulling capital from Bitcoin-linked products. Data show that since October 10, U.S.-listed spot Bitcoin ETFs have seen more than $5.2 billion in net outflows, market depth has dropped about 30% from this year's peak, and positioning in derivatives indicates weak conviction for a rebound. Apollo Crypto noted that, despite multiple supportive factors including public backing from U.S. President Donald Trump, the lack of sustained price follow-through and Bitcoin's decoupling from a roughly 16% year-to-date rally in the S&P 500 suggest a broader repositioning and cooling risk appetite rather than a panic-driven crash.