Summary:
$1.5 billion in net outflows from Bitcoin ETFs over four days
Bitcoin's price drops to $96,000, marking an 11% decline
Institutional interest remains strong with MicroStrategy's $561 million acquisition
BlackRock's IBIT sees largest single-day outflow of $188.7 million
FBTC leads outflows with $509.6 million in withdrawals
Bitcoin exchange-traded funds faced over $1.5 billion in net outflows in just four days, coinciding with a drop in Bitcoin's price to around $96,000, which is an 11% decline from its record high of $108,268 set earlier this month, according to data from CoinMarketCap.
As investors react to this trend, it signals caution following Bitcoin's first weekly decline since the election victory of Donald Trump. Additionally, the Federal Reserve's recent statements regarding inflation and interest rates have significantly impacted market expectations.
Despite these outflows, institutional interest in Bitcoin remains robust. For instance, MicroStrategy disclosed a $561 million acquisition of 5,262 bitcoins at an average price of $106,662, as noted in a filing with the Securities and Exchange Commission. The company now holds a total of 444,262 bitcoins, purchased for approximately $27.7 billion.
Among the ETFs, BlackRock's iShares Bitcoin Trust (IBIT) experienced its largest single-day outflow of $188.7 million, totaling $229.7 million over four days. The Fidelity Wise Origin Bitcoin Fund (FBTC) led the outflows with $509.6 million, while the ARK 21Shares Bitcoin ETF (ARKB) saw $286.1 million in withdrawals.
Other notable outflows included Grayscale's Bitcoin Trust ETF (GBTC) and Bitcoin Mini Trust (BTC), which combined lost $372.1 million. Conversely, the Franklin Bitcoin ETF (EZBC) was the only fund to record positive flows, gaining $5.6 million during this period.
Year-to-date, IBIT has led with $37.1 billion in inflows, while FBTC attracted $11.7 billion. In contrast, GBTC has seen $21.3 billion in outflows since its conversion from a trust structure.
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