Bitcoin News

Story: Bitcoin ETFs See Fourth Consecutive Week of Outflows as Market Faces Economic Uncertainty

By James Thorp

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The cryptocurrency market is feeling the heat as Bitcoin exchange-traded funds (ETFs) record their fourth consecutive week of outflows, reflecting a wave of investor uncertainty…

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The sell-off has been consistent, with daily net negative flows throughout last week:

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Among the biggest losers on Friday, ARK and 21Shares’ ARKB led the pack with $160.03 million in withdrawals, closely followed by Fidelity’s FBTC, which saw $154.89 million exit.

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The only exception to this trend was VanEck’s HODL ETF, which saw a modest inflow of $619,550, barely making a dent in the market-wide retreat.

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Macroeconomic Pressures and Trump’s Trade Tariffs Weigh on Sentiment

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The sustained ETF outflows come at a time of growing macroeconomic uncertainty. Analysts attribute the decline to a mix of factors, including President Donald Trump’s trade…

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Hopes were high that last week’s White House Crypto Summit would provide a bullish catalyst for Bitcoin, but instead, the market saw a continued sell-off.

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Kadan Stadelmann, CTO of Komodo, explained that Bitcoin’s drop is a classic case of "buy the rumor, sell the news.

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Stadelmann noted that people who are less informed, connected, and monied often buy the news and lose money.

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Hedge Funds and Arbitrage Trading: A Hidden Cause of Outflows?

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Another major factor driving the decline is the unwinding of arbitrage trades by hedge funds.

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Many institutional investors have been profiting from low-risk arbitrage opportunities between spot Bitcoin ETFs and CME Bitcoin futures.

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With billions flowing out of ETFs, the market is experiencing a temporary liquidity crunch, exacerbating Bitcoin’s recent price swings.

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Ethereum ETFs Also Hit by Selling Pressure

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Bitcoin isn’t the only asset facing trouble. The nine spot Ethereum ETFs have also suffered two straight weeks of negative flows, with $455 million in investor withdrawals.

The Currency Analytics

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