Bitcoin News Today: Institutions Trim Bitcoin ETFs as Market Jitters Drive $1.2B Exodus

Spot Bitcoin ETFs Sheds $1.2 Billion in Fourth Consecutive Outflow Week

U.S. spot bitcoin exchange-traded funds (ETFs) recorded $903 million in net outflows on November 20, marking the second-largest single-day withdrawal since their January 2024 launch and extending a four-week streak of redemptions according to The Block. The selloff accelerated as BlackRock's IBIT, the largest bitcoin ETF by assets, lost $355.5 million, while Fidelity's FBTC and Grayscale's GBTC saw outflows of $190.4 million and $199.35 million, respectively according to The Block. Cumulative November outflows now total $3.79 billion, shattering the previous record of $3.56 billion set in February according to Seeking Alpha.

The exodus has pushed bitcoin below $86,000, its lowest level since April 2025, as institutional investors trim positions amid broader market jitters according to The Block. The selling pressure intensified following a $1.02 billion weekly outflow from IBIT, accounting for 63% of November's total redemptions according to CoinMarketCap. Fidelity's FBTC contributed an additional $1.09 billion in monthly outflows, with the two funds combined representing 91% of the month's liquidity drain according to CoinMarketCap.

The downturn coincided with a broader risk-off sentiment in equities and crypto markets. Nvidia's stock fell 3.15% after its Q3 earnings report revealed a $33.4 billion surge in accounts receivable, spooking traders about demand softness according to The Block. The S&P 500 and Nasdaq Composite dropped 1.56% and 2.15%, respectively, on November 20, while crypto stocks like Coinbase and BitMine plummeted 7.44% and 10.83% according to The Block. Analysts attribute the ETF outflows to profit-taking and reduced liquidity, with Rachael Lucas of BTC Markets noting, "Institutions haven't abandoned ship; they're just trimming sails. Extreme fear often precedes opportunity, but timing is everything." according to The Block

Ethereum ETFs also faced a record $1.79 billion in outflows this month, while altcoin ETFs showed divergent trends. Bitwise's XRP fund attracted $105 million in inflows on its launch day, and Solana ETFs added $23.66 million according to The Block. However, Ether's price slid below $2,700, and Bitcoin's seven-month low has sparked warnings of prolonged weakness. QwQiao of Alliance DAO cautioned that markets may require a 50% further drawdown to establish a durable bottom according to CoinMarketCap.

Digital asset treasury (DAT) inflows, which had surged to $10.89 billion in September, collapsed to $1.93 billion in October and have only reached $505 million in November according to The New Scrypto. This decline, coupled with ETF outflows, has amplified downward pressure on crypto prices. Chris Burniske of Placeholder warned that the same forces that fueled Bitcoin's rise-ETFs and DATs-could now accelerate its fall through forced selling according to The New Scrypto.

Bitcoin's November rout has positioned the month as its worst since the 2022 crypto crash, with the token trading near $83,400 as of November 22 according to The New Scrypto. While some analysts see potential for a rebound, the sustained outflows and technical breakdowns suggest a bearish near-term outlook. As Lucas noted, "When tech giants wobble, liquidity tightens everywhere, and Bitcoin feels the pinch." according to The Block