Bitcoin's inability to regain its footing above $70,000 has left many investors and analysts searching for answers. A closer examination of recent liquidations, ETF inflows, and market dynamics reveals three key reasons behind this trend.

Firstly, the liquidation heatmap data highlights significant sell-offs at the $72,000, $69,000, and $66,000 levels, indicating strong selling pressure. These liquidations have forced the price of Bitcoin lower, resulting in a swift and steep decline. The cascading effect of these liquidations has led to a rapid reduction in Bitcoin's value, making it challenging for the cryptocurrency to recover.

Secondly, the recent departure from US ETFs that track Bitcoin is noteworthy. After 19 days of inflows, these ETFs saw a net outflow of $64.93 million, signaling a shift from accumulation to profit-taking or risk reduction. Grayscale's GBTC had the highest outflow, followed by Invesco Galaxy Digital's BTCO, Valkyrie's Bitcoin ETF, and Fidelity's FBTC. This decline in institutional interest, despite relatively low volume, is a significant factor in Bitcoin's struggle to surpass $70,000.

Thirdly, market dynamics show a general decline in enthusiasm, with a shift from positive inflows to outflows. Although recent outflows suggest a shift, the overall trend has turned negative, indicating profit-taking following an extended period of positive inflows. This shift in sentiment is likely driven by investors taking profits after a significant price increase, leading to a decrease in demand and, subsequently, a decrease in price.

Furthermore, the current market conditions are not favorable for Bitcoin to surpass $70,000. The cryptocurrency market is known for its volatility, and the current risk-off sentiment among investors is contributing to the decline in Bitcoin's price. Additionally, the lack of significant positive news or developments in the cryptocurrency space is also contributing to the stagnation in Bitcoin's price.

In conclusion, the combination of significant liquidations, declining institutional interest, and a shift in market sentiment have contributed to Bitcoin's struggle to surpass $70,000. As the cryptocurrency market continues to evolve, understanding these factors is crucial for investors and analysts alike. The future price action of Bitcoin will depend on various factors, including the outcome of the ongoing liquidity crisis, the development of new technologies, and the entry of new investors into the market.