Bitcoin ETFs See $172M Outflows in Week of Crypto Market Decline
TLDR:
Spot Bitcoin ETFs experienced $172.89 million in net outflows last week
Outflows occurred on 4 of 5 trading days with Tuesday seeing the highest at $157.64 million
Grayscale’s GBTC led withdrawals with $95.5 million in outflows
Bitcoin price fell 9.3% in a day, dropping below $76,500
Market downturn coincided with President Trump’s new tariff announcements
The U.S. spot Bitcoin exchange-traded fund market saw investors pull out nearly $173 million last week as cryptocurrency prices tumbled. Data providers tracked the outflows across the dozen Bitcoin ETFs during a week of growing economic concerns.
The withdrawal marks the end of a brief positive streak. Bitcoin ETFs had enjoyed two consecutive weeks of inflows totaling about $941 million before this reversal.
According to SoSoValue, the outflows were spread across four of the five trading days last week. Monday started the negative trend with $71.07 million leaving the funds.
Tuesday saw the largest single-day outflow at $157.64 million. After a brief respite on Wednesday, when $220.76 million flowed in, the negative pattern resumed.
Thursday recorded $99.86 million in outflows. Friday closed the week with an additional $64.88 million leaving the Bitcoin ETFs.
ETF Performance Breakdown
Grayscale’s GBTC experienced the highest outflows among all funds. It lost $95.5 million over the week according to data from Faside.
WisdomTree’s BTCW followed with $44.6 million in net outflows. BlackRock’s IBIT saw $35.5 million exit the fund.
Smaller but still substantial outflows hit several other products. BITB lost $24.1 million while ARK Invest’s ARKB saw $22.2 million in withdrawals. HODL experienced a more modest $4.9 million in outflows.
Not all funds saw money leave during the week. A few ETFs bucked the trend with positive flows. Grayscale’s spot Bitcoin Trust, Franklin Templeton’s EZBC, and Fidelity’s FBTC brought in a combined $61.8 million.
The remaining Bitcoin ETFs in the market showed relatively flat performance. They neither gained nor lost major assets during the five-day period.
Market Conditions and Price Action
The ETF outflows coincided with a broader crypto market decline. The overall market dropped nearly 10% in a single day as investor sentiment weakened.
Bitcoin itself fell 9.3% during this period. The price dropped below $76,500, a level that some market analysts like BitMEX co-founder Arthur Hayes had identified as crucial support.
The price represents an 18.5% decline from Bitcoin’s recent peak of $108,786. This correction has clearly impacted investor behavior across crypto investment products.
Ethereum ETFs also suffered during this period. They recorded $49.93 million in outflows last week, marking their sixth consecutive week of withdrawals. The total outflow from Ethereum ETFs now exceeds $795 million over that six-week period.
The withdrawals from Bitcoin ETFs represent approximately 700 Bitcoin being pulled from these investment vehicles. This matches data reported by market tracker Ali_Charts.
Economic Backdrop
The market downturn comes amid renewed economic uncertainty. President Donald Trump recently announced a series of new tariffs, which he called “Liberation Day” duties.
The tariff plan includes a flat 10% on all imports. Certain key trading partners would face even higher rates under the proposal.
These announcements have raised concerns about a potential global trade war. Financial markets broadly reacted to these economic policy declarations.
Despite the recent outflows, Bitcoin ETFs maintain substantial assets. They currently hold about $94.45 billion, representing approximately 5.65% of Bitcoin’s total market value.
Since their launch in January 2024, these ETFs have attracted $36.07 billion in total investments. The recent withdrawals represent only a small fraction of the overall inflows during their operation.
Trading volume remains high across cryptocurrency markets. The Bitcoin exchange market processed $4.43 billion in trades on April 4 alone, showing continued active participation.
The market sentiment indicator known as the Fear & Greed Index currently reads 40. This suggests caution among investors as they navigate both market volatility and potential economic impacts.
The post Bitcoin ETFs See $172M Outflows in Week of Crypto Market Decline appeared first on CoinCentral.
Filed under: News - @ April 7, 2025 11:27 am