US Spot Bitcoin ETFs Post Second-Worst Outflows Streak As $2B Exits In A Week
US spot Bitcoin ETFs (exchange-traded funds) have posted their second-worst withdrawal streak after suffering $2 billion outflows over the past week.
That’s after the investment products extended their outflows streak to six days amid growing market uncertainty.
Investors Pull More Capital Out Of US Spot Bitcoin ETFs
But in the latest trading session, several spot Bitcoin ETFs saw net daily inflows, according to data from Farside Investors.
US spot BTC ETF flows (Source: Farside Investors)
The largest inflows on the day were posted by Fidelity’s FBTC, which saw $113.3 million added to its reserves. Meanwhile, Bitwise’s BITB, ARK Invest’s ARKB, VanEck’s HODL, and Grayscale’s BTC saw inflows of $17 million, $82.9 million, $3.7 million, and $21.6 million, respectively.
While those funds recorded inflows yesterday, the $375.5 million that was pulled out of BlackRock’s IBIT product on the day was enough to tip the flows into negative territory. As a result, the funds closed the trading session with $137 million net daily outflows, subsequently extending the negative flows streak for the investment products.
The streak started on Oct. 29, and has erased more than $2.04 billion from the products’ reserves. So far, the worst day for the US spot Bitcoin ETFs in this streak was on Nov. 4, when investors withdrew $566.4 million from the funds collectively.
The total outflows seen in this streak comes in second only to the one seen during the crypto market selloff that took place towards the end of February. Back then, the investment products saw $3.2 billion leave their collective reserves in a single week.
Ethereum ETFs Also On An Outflows Streak
It’s not just spot Bitcoin ETFs in the US that are struggling, with Ethereum ETFs also in a multi-outflows streak.
BlackRock’s ETHA fund was the only spot Ethereum ETF to post net daily outflows yesterday. The $146.6 million that left the product overshadowed the $3.5 million, $0.5 million, and $24.1 million inflows that were recorded by Fidelity’s FETH, 21Shares’ TETH, and Grayscale’s ETH.
The Ethereum products’ worst day this past week was on Nov. 4, when investors pulled $219.4 million collectively from the funds.
Crypto Market Slumps Amid Growing Uncertainty
The outflows were triggered by the crypto market’s correction. Over the past week, market leaders BTC and ETH have plummeted over 6% and 13%, respectively.
That same negative weekly trend can be observed across the broader crypto space, CoinMarketCap shows.
The pullback in crypto prices can be attributed to growing uncertainty in the global markets.
One driver behind this uncertainty is the ongoing US government shutdown, which has ended its 36th day, making it the longest shutdown in history.
While that’s delayed the launch of several crypto ETFs, there’s still optimism in the crypto market that an ETF gold rush remains underway.
NovaDius Wealth Management’s Nate Geraci said recently that he’s ”highly bullish” on index-based and actively managed crypto ETFs.
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