Record Outflow from BlackRock's Bitcoin ETF Amid Market Volatility

user avatar

by Giorgi Kostiuk

2 years ago

On the first trading day of 2025, BlackRock's Bitcoin ETF experienced a significant fund outflow, marking the largest in its history. This event underscores the cryptocurrency market's high volatility.

Largest Outflow from IBIT

According to SpotOnChain, on January 2nd, BlackRock's Bitcoin ETF recorded its largest outflow of $332.62 million, the highest since the fund's inception on January 11, 2024. Over three days, a total of $392.6 million was withdrawn from the fund. These outflows highlight the stable changes in the volatile cryptocurrency market, where macroeconomic conditions like interest rate changes may affect investors' risk tolerance.

Competitors Show Positive Inflows

While BlackRock faced outflows, competitors like Bitwise, Fidelity, and Ark 21Shares reported positive inflows of $48.3 million and $36.2 million respectively. Ark 21Shares, Grayscale Mini, and VanEck also saw inflows of $16.5 million, $6.9 million, and $5.51 million.

Outflows in Ethereum ETFs

Additionally, two Ethereum ETFs saw significant outflow activity on January 2, 2025, with $77.51 million withdrawn. SpotOnChain data indicated that outflows came from Bitwise ETH ETF and Grayscale's ETH ETF, which lost $56.11 million and $21.4 million respectively. The remaining seven Ethereum ETFs did not experience any outflows on January 2, 2025.

Despite notable outflows, BlackRock's Bitcoin ETF remains a significant player in the U.S. market, emphasizing the importance of strategic investment approaches during volatile market conditions.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Other news

SEC Proposes New Custody Framework for Crypto Assets

The SEC has proposed a new custody framework for investment advisers and registered funds dealing with crypto assets, allowing for potential self-custody and the use of state trust companies as custodians.

user avatarArif Mukhtar

FINMA Approves First Swiss Retail Bitcoin ETF

Switzerland's financial regulator, FINMA, has approved its first retail ETF that invests directly in Bitcoin, allowing retail investors to gain regulated exposure to Bitcoin.

user avatarMaria Gutierrez

EIP7906 Proposal Considered for Enhancing Ethereum Transaction Safety

The Ethereum Foundation is considering EIP7906, which proposes a readonly post-transaction frame to evaluate changes and events before accepting transaction outcomes.

user avatarDavid Robinson

Ethereum Foundation Investigates Enhancements to Transaction Safety

Researchers at the Ethereum Foundation are examining native transaction assertions to enhance transaction safety and reliability in digital asset markets.

user avatarAndrew Smith

Ethereum Developers Delay Glamsterdam Upgrade on Hoodi Testnet

Ethereum developers have postponed the Glamsterdam upgrade initially scheduled for the Hoodi testnet on October 26, with no new activation date provided.

user avatarJacob Williams

Samsung and Solana to Enable Cross-Border USDC Transfers in Samsung Wallet

Samsung and Solana announced plans to integrate cross-border USDC transfers into Samsung Wallet, targeting 82 million US Galaxy devices.

user avatarZainab Kamara

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.