Who's Really Shaking Up the Crypto World?

The crypto market recently experienced a significant downturn, and surprisingly, it wasn't the big institutions that caused it. Instead, it was the everyday crypto enthusiasts and retail investors who played a major role. Both Bitcoin and Ethereum saw a decline in value, but the big players in Bitcoin ETFs and CME futures remained relatively calm. Bitcoin ETFs did see some withdrawals, but the amount was small compared to the total assets. Ethereum ETFs had a bit more activity, but it was still not a major concern. The real action was in the perpetual futures market, where many crypto-native traders were cutting their losses. Bitcoin and Ethereum contracts saw a significant drop in open interest, much more than the spot prices. So, what's going on here? It appears that momentum-driven traders were the ones driving the market down. They were the ones reducing their risk and causing the steepest losses. Ethereum took a bigger hit than Bitcoin, which is not surprising given its volatility. This situation highlights that crypto-native traders are the main influencers in the downturn. It's not the big institutions calling the shots this time, but the everyday people deeply involved in the crypto space. This serves as a reminder that the market can be influenced by various factors, and it's not always the big players who are in control.