📉 Where did 1.2 trillion dollars go?

The money that left the market didn't disappear; it simply changed hands. The sell-off included several key mechanisms:

· Flight of capital to safe assets: In times of market uncertainty and high volatility, investors tend to shift their capital from high-risk assets, such as cryptocurrencies, to more stable traditional assets like bonds or even cash. This is a classic move towards "risk aversion".

· Outflow from ETFs: The very products that made buying Bitcoin easier also made selling it easier. In November 2025 alone, investors withdrew 3.5 billion dollars from U.S. spot Bitcoin ETFs. The largest of these, the BlackRock fund, faced an outflow of 2.2 billion dollars. This created mechanical selling pressure, as funds had to sell Bitcoin to return cash to investors.

· Reduction of leverage: Many traders use borrowed funds for trading. When the market started to decline, it triggered a cascade of automatic liquidations, as these leveraged positions were forcibly closed.