Spot Bitcoin ETFs Reverse Course, Losing $438 Million as BTC Dips Below $92,000
U.S. spot Bitcoin exchange-traded funds (ETFs) experienced a sharp reversal in investor sentiment on Monday, registering a total outflow of $438 million. This marked the end of a five-day streak of net inflows that had drawn in $3.4 billion, according to market data from SoSoValue. The outflows coincided with Bitcoin’s decline below $93,000, as the flagship cryptocurrency struggled to regain its recent highs.
The largest outflows were recorded by Bitwise’s Bitcoin ETF (BITB), which saw $280 million in investor withdrawals. Grayscale’s Bitcoin Trust (GBTC) followed with $158 million in redemptions, while Fidelity’s Wise Origin Bitcoin Fund (FBTC) and Ark and 21Shares’ Bitcoin ETF (ARKB) posted outflows of $135 million and $111 million, respectively.
Additional losses were seen across Invesco, Valkyrie, and VanEck funds, which collectively registered net outflows of $19 million. In contrast, BlackRock’s iShares Bitcoin Trust (IBIT) stood out, bringing in $268 million in inflows, accounting for nearly 61% of Monday’s positive flows. Grayscale’s Mini Bitcoin Trust also bucked the trend, albeit modestly, with $420,000 in inflows.
After huge inflows last week, most ETF funds saw outflows on Monday as the Bitcoin price slid as low as $91,600 Source: Farside Investors
Overall, Bitcoin ETFs collectively traded $5.6 billion on Monday, slightly higher than last Friday’s $5.4 billion. Their cumulative inflows now stand at $30.4 billion, representing approximately 5.4% of Bitcoin’s total market capitalization.
Bitcoin Price Stalls Below $100,000
Bitcoin’s attempt to breach the psychological $100,000 level faltered last week, falling to $91,881 at the time of reporting, according to Brave New Coin’s Bitcoin Liquid Index. The cryptocurrency’s current price marks a 6.2% decline in the past 24 hours and a significant retracement from its recent peak of nearly $100,000.
Selling pressure from long-term holders has contributed to the bearish sentiment, with over 461,000 BTC sold since the asset’s most recent high above $99,000. These sales, combined with a wave of liquidations amounting to over $1 billion in the past two days, have raised concerns about a potential drop below $90,000. Technical analysts suggest Bitcoin may find support near $85,000 before attempting another rally.
Record Weekly Inflows Highlight Market Dynamics
Despite Monday’s setback, the broader market trend for Bitcoin ETFs has been positive. Last week, U.S. Bitcoin ETFs recorded unprecedented inflows of $3.3 billion. BlackRock’s IBIT was a standout performer, securing over 60% of the weekly total.
MicroStrategy, a major corporate Bitcoin holder, also bolstered market activity with its largest-ever acquisition of 55,500 BTC worth $5.4 billion. The move reinforced the company’s position as a leading institutional player in the crypto space, with a cumulative Bitcoin holding of 386,700 BTC.
Altcoin Performance and Ethereum ETF Trends
While Bitcoin ETFs struggled on Monday, spot Ethereum ETFs recorded $2.8 million in net inflows. Trading volumes for Ethereum ETFs surged to $711.2 million, a significant increase from last Friday’s $373.9 million. Altcoins like Solana and XRP also saw investor interest, with Solana capturing $16 million in inflows compared to Ethereum’s modest $2.8 million.
Market participants remain focused on macroeconomic factors, including Federal Reserve policy and inflation data, which could shape the trajectory of both Bitcoin and the broader crypto market in the coming weeks.
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