Bitcoin ETF Outflows Hit $228 Million Amid Miner Capitulation, What’s Happening?

Bitcoin ETFs experience significant outflows totaling $228.2 million, with BlackRock's IBIT ETF as the exception. Discover the market trends and investor sentiments driving these movements.
By Coingape Staff
Hong Kong Bitcoin and Ether ETFs See Record Net Outflows Since Launch

Highlights

  • U.S. Bitcoin spot ETFs see net outflows of $226.2 million, with only BlackRock's IBIT ETF attracting $18.2 million in new investments.
  • Fidelity’s FBTC, Grayscale’s GBTC, and Ark Invest’s ARKB among the funds experiencing substantial withdrawals.
  • Bitcoin price dips, yet whale accumulation increases and buying interest surges, indicating ongoing market volatility.

Recent monitoring data from Farside Investors revealed a substantial net outflow of US$226.2 million from the US Bitcoin spot ETF market yesterday. This significant movement indicates a shifting sentiment among investors.

While most funds saw outflows, BlackRock’s IBIT ETF stood out as the only fund to attract new investments, reporting a net inflow of US$18.2 million. This development shows the varying investor sentiments towards different Bitcoin ETFs in a volatile market, highlighting that not all funds are perceived equally by investors.

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Detailed ETF Performance and Regulatory Insights

The cryptocurrency market saw some significant shifts yesterday when it comes to bitcoin exchange-traded funds (ETFs) in the United States. A total of 11 spot bitcoin ETFs reported large outflows totaling $226.21 million.

Fidelity’s FBTC took one of the biggest hits, experiencing its second-largest single-day outflow since its inception, worth a staggering $106.4 million according to data from Farside Investors. Grayscale’s popular GBTC fund also saw net outflows of $61.5 million.

Some other big names feeling the pinch were Ark Invest and 21Shares’ ARKB with $52.7 million flowing out, while funds from Bitwise and VanEck both lost around $10 million each. Smaller outflows were seen from Invesco and Galaxy Digital’s BTCO at $2.7 million.

Bucking the trend was BlackRock’s IBIT, the largest spot bitcoin fund by net asset value. It actually drew in $18.2 million in new investments. Despite yesterday’s outflows, these 11 funds have collectively accumulated $15.30 billion in net inflows since their launch in January.

Also Read: Bitcoin Buy The Dip Calls Surge But BTC Price Drop Under $65,000 Can Be Fatal

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Bitcoin Price Trends and Market Dynamics

Bitcoin has been on a bit of a rollercoaster ride lately. Just last week, it looked like it might surge past $72,000, but it couldn’t quite get over the hump. Instead, the price has been sliding, dropping almost 6.5% over the past seven days.

However it’s not all doom and gloom. The data crunchers over at Santiment have spotted a notable spike in buyer interest after Bitcoin dipped under $67,000 on Thursday. Apparently, it’s the second biggest burst of buying interest in the last two months. On the flip side, there doesn’t seem to be much selling pressure building up.

The big money players continue to stock up too. The number of whales holding over 1,000 BTC has hit a new all-time high as institutional investors keep piling in. Though the miners have been cashing out in larger numbers to cover their operating costs after the halving event.

According to the analysis guru Rekt Capital, this period of Bitcoin failing to decisively break out could actually be a good thing for the longer market cycle. Historically, he says Bitcoin has never made that big move this early after a halving.

Bitcoin is currently trading around $67,059, with over $26 billion worth of the crypto traded in the past 24 hours. Overall, it’s down about 0.77% on the day, bouncing between $67,141 and $66,539 or so. With a market cap still sitting pretty at $1.3 trillion. A bit of turbulence lately, but some potentially promising signs for Bitcoin’s long-term trajectory based on historical patterns and whale accumulation.

Also Read: Ethereum Permanent Holders Scoop 298K ETH In A Day, ETH Price Rally Soon?

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Coingape Staff
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