**The market suddenly changed its face.**

As November begins, everyone is still immersed in the sweet dream of interest rate cuts, but suddenly it all fell apart — Bitcoin dropped from around $105,000 to $99,800 in just two days from the 3rd to the 4th, in just a few hours. Ethereum fared worse, breaking $5,000 with a single-day drop of over 6%. The entire cryptocurrency market's value instantly shrank from $3.8 trillion to $3.69 trillion, evaporating at a speed comparable to a stock market crash.

The data is even more brutal: $1.2 billion liquidated across the entire network in 24 hours, with 90% being long positions being buried. The liquidation leaderboard of several leading exchanges is a river of blood.

**But what is truly fatal is the movement on the ETF side.**

Since the middle of this year, where the money from Bitcoin spot ETFs flows, the market follows, which has almost become a hard rule. However, starting from the end of October, the wind has changed dramatically — for four consecutive trading days, net outflows from ETFs exceeded $1.3 billion, reaching a three-month high. What does this mean? Institutions have started to cash out.

When ETFs reduce their positions, the custodians must simultaneously sell the spot BTC, which creates real selling pressure, not the virtual numbers in contracts. At this moment, the leverage positions are piled up so much that even a slight touch will cause an explosion. The so-called "reflexive sell-off" refers to this kind of chain reaction—when institutions withdraw, it triggers spot selling pressure, the decline in spot prices ignites leveraged liquidations, and the liquidations exacerbate panic... this cycle repeats until the last bull capitulates.

Short-term sentiment? It's no longer a question of whether it has crashed, but rather what form the crash has taken.