Bitcoin News Today: Bitcoin ETFs See $333.19M in Daily Outflows Amid Liquidity Deterioration

Generated by AI AgentCoin World
Tuesday, Aug 5, 2025 5:56 am ET1min read
Aime RobotAime Summary

- Bitcoin ETFs saw $333.19M daily outflows in July, led by BlackRock’s IBIT ($292.21M) and Fidelity’s FBTC ($40.06M).

- Liquidity inventory ratios worsened as ETF inflows stalled, with crypto buyers failing to offset demand gaps.

- Price dropped sharply amid outflows and liquidity constraints, despite $53.85B in cumulative ETF inflows since 2025.

- SEC approved in-kind redemption for crypto ETPs to reduce costs and improve market efficiency, signaling regulatory shifts.

- Bitcoin traded at $114,478.13 (+0.03% 24h), reflecting mixed investor sentiment amid structural market adjustments.

Bitcoin ETFs experienced significant outflows on a daily basis, totaling $333.19 million, according to data from SoSoValue. BlackRock’s iShares Bitcoin Trust (IBIT) accounted for the majority of the outflows with $292.21 million in redemptions, while Fidelity’s FBTC lost $40.06 million, and Grayscale’s GBTC recorded $9.92 million in outflows [1]. These figures highlight a growing unease among institutional investors, with the ETF demand line showing no sustained trend and signaling hesitation [2].

The liquidity inventory ratio for Bitcoin also deteriorated during the same period. Despite strong accumulation in earlier months of 2025, sell-side liquidity increased while liquidity inventory declined [3]. CryptoQuant attributed this shift to the absence of stable ETF inflows, which left a gap in market demand that no alternative buyer base could compensate for [4]. Accumulator address activity, as indicated by purple zones on the network, also failed to provide necessary support, further exacerbating the pressure on Bitcoin’s price [5].

The market saw a noticeable price drop at the end of July, coinciding with these ETF outflows and liquidity constraints [6]. The ETF demand fluctuated sharply during this time, compounding the stress on the market. While total cumulative net inflows into US Bitcoin ETFs remained robust at $53.85 billion, with net assets reaching $147.96 billion—accounting for 6.46% of Bitcoin’s market cap—daily trading volumes remained high at $2.50 billion, suggesting continued investor engagement despite recent withdrawals [7].

Regulatory changes have also played a role in shaping the current environment. The US Securities and Exchange Commission (SEC) recently approved the in-kind creation and redemption of cryptocurrency exchange-traded products (ETPs), replacing the previous cash-only rule for Bitcoin and Ether ETPs. This change, which allows authorized participants to exchange ETF shares directly for the underlying crypto assets, is intended to lower transaction costs and improve fund efficiency [8]. SEC Chairman Paul S. Atkins emphasized that the new mechanism aims to enhance overall market functionality [9].

At press time, Bitcoin was trading at $114,478.13, up 0.03% over the past 24 hours [10].

Source:

[1][4][5][7]https://coinmarketcap.com/community/articles/6891d292209b7b6a4565b3d1/

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