TL;DR
- Crypto ETFs saw massive withdrawals on Thursday, with Bitcoin funds losing $258 million and Ether ETFs shedding $251 million.
- BlackRock’s iShares Bitcoin Trust attracted $79 million while major rivals such as Fidelity, Bitwise, and ARK faced heavy outflows.
- Despite the pullback, cumulative inflows for Bitcoin ETFs remain over $57 billion, reflecting ongoing investor confidence in long-term crypto adoption and institutional demand.
Crypto exchange-traded funds experienced significant outflows on Thursday as Bitcoin and Ether prices continued to weaken. Bitcoin-focused ETFs alone saw $258.4 million in withdrawals, bringing the total weekly outflow to $484 million. The sell-off coincided with Bitcoin dipping below $109,000, marking its lowest point in nearly a month. Many investors appear to be adjusting positions amid short-term volatility, even as institutional interest in crypto remains robust.
BlackRock Stands Out Amid Heavy ETF Withdrawals
While many ETFs reported losses, BlackRock’s iShares Bitcoin Trust (IBIT) drew $79 million in inflows, highlighting its strong market position. Other major ETFs, including Fidelity’s FBTC, Bitwise, ARK 21Shares, Franklin, VanEck, and Grayscale, all faced substantial withdrawals. Fidelity’s fund lost $114.8 million, Bitwise posted $80.5 million, and ARK’s ARKB saw $63 million exit. Analysts also note that Bitcoin ETFs collectively maintain net-positive inflows exceeding $57 billion since their launch, signaling enduring confidence in the sector. Strong inflows into BlackRock’s fund suggest investor preference for well-established platforms during turbulent periods.
Ether ETFs See Steep Declines While New Products Expand
Ether ETFs recorded $251 million in outflows on Thursday, adding to weekly withdrawals of $547 million as Ethereum traded near $3,900, down 8% on the day and 21% from last month’s highs. This triggered more than $1.1 billion in liquidations of leveraged positions.
Despite these short-term losses, new ETFs are being introduced. The SEC approved the Hashdex Nasdaq Crypto Index US ETF, REX-Osprey launched the first Ether staking ETF, and Bitwise filed for a Hyperliquid product. BlackRock also registered a “Bitcoin Premium ETF,” indicating ongoing institutional interest in structured crypto exposure. These developments suggest that, even amid corrections, major players continue to innovate and diversify offerings, betting on long-term growth.
The market downturn places Bitcoin near the $107,000 support level, critical for leveraged positions. Analysts suggest that renewed buying at this level could stabilize prices, turning the current correction into a temporary adjustment rather than a deeper retracement. Investors continue monitoring large whale activity, including recent ETH transfers by Ethereum co-founder Jeffrey Wilcke, which could influence market sentiment in the coming weeks.
