Crypto Market Sentiment Wavers as BlackRock ETF Outflows and Stablecoin Declines Raise Red Flags
The post Crypto Market Sentiment Wavers as BlackRock ETF Outflows and Stablecoin Declines Raise Red Flags appeared on BitcoinEthereumNews.com.
The cryptocurrency market is indicating a move in sentiment, with some mineral activity in exchange-traded funds managed by BlackRock raising eyebrows. For the past week, both Bitcoin and Ethereum spot ETFs have undergone meaningful changes in fund balances, seemingly the result of large-scale repositioning or some kind of short-term, dial-it-back profit-taking. Between May 27 and June 2, the Ethereum ETF saw its balance decline from 2.47 billion dollars to 2.29 billion dollars, reflecting a moderate withdrawal by investors. Meanwhile, the Bitcoin ETF experienced a more significant drop, with holdings falling from 66.51 billion dollars to 63.98 billion dollars. The timing of this movement aligns with the seasonal trading pattern commonly referred to as “Sell in May and go away,” implying that investors may be reducing risk exposure ahead of the historically slower summer trading season. The net inflow for Bitcoin ETFs over the past six weeks had been extremely positive. But on the list of Bitcoin ETFs that experienced the most recent outflows, the one that definitely stood out was the spot Bitcoin ETF. What makes the situation even more interesting is that the outflow from the spot Bitcoin ETF over the past three days was larger than the outflow from the Bitcoin futures ETF over the same period. Like the recent outflow from the spot ETF, the situation isn’t just interesting per se, but it also raises some flags concerning the overall health of demand for the ETFs in question. Ethereum ETFs Buck the Trend While Bitcoin’s recent ETF outflows have been seen, Ethereum continues to attract capital in ETF inflows. Over this same recent time period, Ethereum-based spot ETFs have recorded a net inflow of 286 million dollars. This marks the third consecutive week of positive net flows for these Ethereum ETFs. This is all quite the opposite…
Filed under: News - @ June 3, 2025 7:27 am