The BlackRock iShares Bitcoin Trust recorded its largest outflow in nine weeks, amounting to $292.5 million, amid a decline in Bitcoin prices.
Largest Outflow from iShares Bitcoin Trust
On Monday, the US-listed iShares Bitcoin Trust experienced an outflow of $292.5 million, marking its largest withdrawal since May. This followed a minor outflow on Friday, ending a 37-day streak of inflows. The withdrawals coincided with an 8.5% decrease in Bitcoin's price since its July 14 record high.
Fund Flows in Bitcoin ETFs
Monday marked the third consecutive trading day that US-listed Bitcoin ETFs collectively experienced net outflows. Fidelity’s Wise Origin Bitcoin Fund saw an outflow of approximately $40 million, while the Grayscale Bitcoin Trust recorded a $10 million withdrawal. Other US-based ETFs maintained neutral flows, except for Bitwise, which noted an inflow of $18.7 million.
Growth of Digital Assets in Alternative Investments
According to Bloomberg ETF analyst Eric Balchunas, while private asset fundraising cools, digital assets and hedge funds have accelerated inflows, gaining market share in alternative investments. Digital assets have become the fastest-growing segment within alternatives, attracting $60 billion by late July.
Despite recent outflows, interest in digital assets remains strong, with notable investments in hedge funds and ETFs, indicating market resilience.
