Spot Bitcoin ETFs Bleed $3.8B in Six-Week Outflow Marathon
US spot Bitcoin exchange-traded funds have endured six consecutive weeks of outflows totaling around $3.8 billion, marking the longest such streak since early 2025. BlackRock's flagship IBIT product has shouldered much of the burden, with massive daily exits underscoring cooling institutional appetite even as Bitcoin stabilizes near $68,000. For advanced investors eyeing the dip, these flows reveal potential undervaluation amid broader market jitters.
The outflow trend kicked off in mid-January, with the week ending February 20 alone seeing $316 million in net withdrawals, according to data highlighted in CryptoNews reports. Midweek selling was brutal—$105 million on Tuesday, $133 million Wednesday, and $166 million Thursday—before a modest Friday rebound of $88 million led by BlackRock's IBIT at $64.5 million and Fidelity's FBTC at $23.6 million. This pattern echoes a tariff-sparked sell-off nearly a year prior, but current volumes are smaller than January's peaks exceeding $1.3 billion weekly. AMBCrypto details how February 23 amplified the pain, with $203.8 million exiting amid Bitcoin dipping below $63,000 temporarily. BlackRock's IBIT dominated losses, contributing over half in recent stretches, while VanEck's HODL bucked the trend with $6.4 million inflows—hinting at bargain hunting below $70,000. Trader T's X updates confirm the daily grind: February 23 netted -$205.82 million across ETFs, IBIT down $117.44 million, Fidelity -$27.93 million, and Grayscale's GBTC -$13.06 million after prior flat days. Institutional holders, who fueled Bitcoin's 2025 surge from $40,000 to $126,000, now face average buy-ins around $84,100, yielding 20% unrealized losses. Ethereum ETFs mirrored the exodus with $123 million out weekly, but Solana products gained $14.3 million, signaling rotation rather than abandonment. Despite $54 billion in net inflows since launch, assets hover at $85.3 billion, pressuring prices yet exposing dip opportunities as individuals hold firm at 13.15 million BTC.
These relentless outflows amplify downward pressure on Bitcoin, exacerbating its year-to-date drop over 20% and testing key on-chain supports. For long-term holders and advanced traders, however, the selling undervalues assets in a bearish phase, creating entry points for those betting on institutional rebound and historical cycles. Rotation to altcoin ETFs like Solana underscores selective caution, not total flight.
As outflows show signs of deceleration with minor inflows, Bitcoin ETFs remain pivotal sentiment gauges. Advanced investors should monitor flow trackers closely—history favors the patient dip-buyer poised for the next rally.