Institutional Investors Pull $326.27M from Bitcoin ETFs in Four Days

Institutional investors are increasingly risk-averse, shifting capital away from Bitcoin ETF products. This shift in sentiment has led to a sharp spike in capital exit, with US-listed spot Bitcoin ETFs recording another day of outflows on Tuesday. This trend signals sustained bearish pressure and a lack of conviction from institutional players who had previously fueled bullish momentum in the ETF market.

On Tuesday, fund outflows from spot BTC ETFs totaled $326.27 million, marking four consecutive days of consistent outflows. This figure also represented the highest single-day outflow from spot BTC ETFs since March 10, signaling a notable shift in sentiment. This sustained capital flight suggests that large investors are de-risking their portfolios in response to macroeconomic pressures.

According to SosoValue, BlackRock’s ETF IBIT saw the highest net outflow on Tuesday, totaling $252.29 million, bringing its total historical net inflow to $39.66 billion. Bitwise’s ETF BITB came second with a daily net outflow of $21.27 million. As of this writing, the ETF’s total historical net inflow still stands at $1.97 billion. For the second time this week, none of the twelve US-listed spot Bitcoin ETFs recorded a single net inflow.

This trend is significant considering the role institutional flows have played in driving BTC’s rally through ETF demand in the past. The sustained bearish pressure and lack of conviction from institutional players suggest a cautious approach to the market, with investors preferring to de-risk their portfolios in the face of macroeconomic uncertainties.