Bitcoin Spot ETFs have suffered another blow, with investors withdrawing over $900 million in the past week, highlighting increasing uncertainty in the crypto market.
Challenges for BlackRock and Fidelity
The latest wave of outflows was primarily driven by BlackRock’s IBIT, which recorded $338.1 million in net redemptions, and Fidelity’s FBTC, which saw $307.4 million in withdrawals. Other Bitcoin ETFs experiencing significant outflows include Ark’s ARKB with $81 million, Invesco’s BTCO with $33 million, Franklin Templeton’s EZBC with $63 million, WisdomTree’s BTCW with $40 million and Grayscale’s GBTC with $50 million. Notably, Grayscale BTC was the only fund to record inflows, adding $5.5 million.
Bitcoin ETF Assets Fall Amid Correction
The massive withdrawals are likely tied to Bitcoin’s 11.95% price decline over the last month, which saw BTC drop as low as $77,000. As a result, the total net assets of Bitcoin ETFs have plunged by 21.7%, now standing at $89.89 billion.
Ethereum ETF Withdrawals
Ethereum Spot ETFs have followed a similar trajectory, experiencing $189.9 million in outflows in the past week. This marks the third straight week of net withdrawals, bringing the total outflows to $645.08 million. The largest ETH ETF withdrawals were seen in BlackRock’s ETHA with $63.3 million.
The continued exodus from both Bitcoin and Ethereum ETFs signals weak institutional confidence in the short term. However, as crypto markets stabilize and new catalysts emerge, a reversal in ETF inflows could be on the horizon.
