Claim BonusBitcoin ETFs Record Fifth Day of Consecutive Outflows, Investors Losing Interest?
Highlights
- Grayscale ETF GBTC saw a significant net outflow of $89.99 million on Thursday.
- Analysts float a taxation theory that could help GBTC outflows from slowing down.
- BlackRock's IBIT Bitcoin ETF has seen consistent inflows for 70 consecutive days.
The US Bitcoin ETF market has witnessed five consecutive days of outflows hinting that the investor sentiment has been waning recently. Yesterday, Bitcoin spot ETFs experienced a total net outflow of $4.38 million. Notably, Grayscale ETF GBTC saw a significant net outflow of $89.99 million on the day, contributing to its historical total net outflow of $16.6 billion.
GBTC OutFlows Refuse to Stop
The outflows from the Grayscale Bitcoin ETF GBTC have refused to stop eroding more than 50% of the company’s Bitcoin holdings ever since the ETF launch on January 24. On the other hand, GBTC backers remain hopeful for the outflows to slow down while estimating that more than half of the fund’s remaining assets are stuck in taxable accounts.
These analysts believe that investors are unlikely to sell the GBTC holdings and incur large tax bills unless and until they are willing to exit their Bitcoin investments entirely. Ryan Selkis, a former executive at Grayscale’s parent group DCG stated:
“No one is going to buy another bitcoin ETF and concurrently take a 30% tax hit on capital gains just to save 1% a year (in fees)”.
Previously, there were reports that bankrupt players like FTX, Genesis, etc. have been selling their GBTC holdings. However, the high management fees have also been a major reason behind this GBTC exodus that refuses to stop. Grayscale CEO Michael Sonnenshein has stated that he would be reducing the GBTC fees, however, hasn’t mentioned when that would happen.
BlackRock and Others Keep the Momentum Gain
While the Grayscale Bitcoin ETF GBTC records strong outflows, BlackRock on the other hand, has registered consistent inflows for the past 70 days in a row. On Thursday, April 18, the inflows in BlackRock’s IBIT Bitcoin ETf stood at $18.7 million. With this, the total inflows in IBIT have now surpassed to over $15.4 billion.
On the other hand, Fidelity’s ETF FBTC recorded the highest net inflow among Bitcoin spot ETFs, with $37.39 million.
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- US–India Trade Deal: Will Trump’s Tariff Relief Boost Crypto Market?
- Why Is Pi Coin Price Rising Today? Key Reasons Explained
- BestChange Wins Best Crypto Exchange Rate Aggregator at the Crypto Impact Awards 2025
- Arthur Hayes Blames BlackRock’s IBIT Hedging for Bitcoin Crash as BTC Price Rebounds 7%
- When Will the Crypto Winter Finally End?
- Bitcoin and XRP Price Outlook Ahead of Crypto Market Bill Nearing Key Phase on Feb 10th
- Bitcoin Price Prediction as Funding Rate Tumbles Ahead of $2.1B Options Expiry
- Ethereum Price Outlook as Vitalik Buterin Sells $14 Million Worth of ETH: What’s Next for Ether?
- Solana Price at Risk of Crashing Below $50 as Crypto Fear and Greed Index Plunges to 5
- Pi Network Price Prediction Ahead of PI KYC Validator Reward System Launch
- XRP Price Outlook As Peter Brandt Predicts BTC Price Might Crash to $42k
