Bitcoin ETFs Experience $900 Million in Net Outflows for the Week
Bitcoin exchange-traded funds (ETFs) in the U.S. saw a continuous outflow for the fifth day in a row on Thursday, resulting in losses exceeding $900 million for the week.
Data provided by SoSoValue revealed that the 11 ETFs experienced a $140 million decline on Thursday, with total trading volumes amounting to $1.1 billion. Among these ETFs, Grayscale’s GBTC and Fidelity’s FBTC were the leaders in outflows, with GBTC witnessing a $53 million outflow and FBTC following closely behind at $51 million.
Interestingly, BlackRock’s IBIT, the largest ETF in terms of assets under management, was the sole product that recorded net inflows, amounting to $1 million. The remaining products did not show any significant net inflow or outflow activity during this period.
This recent outflow trend marks the most substantial decline since late April, when trading sessions from April 24 to May 2 witnessed a total of $1.2 billion in net outflows. Following this period, there was a surge in inflows, with the products accumulating over $4 billion in the subsequent 19 trading days before the current outflow trend commenced on June 10.
Bitcoin prices have faced challenges in recent weeks, influenced by factors such as substantial sales amounting to $1 billion by major holders, the strength of the U.S. dollar, and a robust U.S. technology index market.
The outflow trend in Bitcoin ETFs highlights a significant shift in investor sentiment and trading activity, with notable implications for the broader cryptocurrency market. As market dynamics continue to evolve, investors are closely monitoring these developments to assess the potential impact on Bitcoin and other digital assets.
The fluctuations in ETF flows and Bitcoin prices underscore the inherent volatility and complexity of the cryptocurrency market, emphasizing the importance of thorough analysis and risk management strategies for investors navigating this rapidly changing landscape.
