Bitcoin News Today: Bitcoin ETFs Bleed $1.1B, But XRP and Solana Funds Attract Fresh Capital

U.S. spot Bitcoin exchange-traded funds (ETFs) experienced a record-breaking $1.11 billion in outflows during the week ending November 14, marking the third consecutive week of redemptions and intensifying concerns about waning institutional demand. BlackRock's IBIT led the exodus, hemorrhaging $532.41 million, while Grayscale's Bitcoin Mini Trust (BTC) lost nearly $290 million, according to SoSoValue data. The outflows coincided with Bitcoin's price falling to a six-month low of $95,200, erasing gains made earlier this year according to the same data. This visual correlation reinforces the link between investor sentiment and price movements.

The selloff accelerated on November 13, when Bitcoin ETFs recorded the second-largest single-day outflow of $869 million since their January 2024 debut according to market analysis. Fidelity's FBTC and Grayscale's BTC saw $120 million and $64 million in redemptions, respectively, amid broader market volatility according to the report. Total assets under management (AUM) for Bitcoin ETFs now stand at $125.34 billion, representing 6.67% of the cryptocurrency's market cap according to market data. Analysts attribute the pullback to a combination of macroeconomic uncertainty-particularly fears of delayed Federal Reserve rate cuts-and profit-taking after Bitcoin's October rally to $126,000 according to market analysis.

Simon Gerovich, CEO of Japanese Bitcoin treasury firm Metaplanet, argued that ETFs do not inherently weaken the appeal of direct Bitcoin holdings. "ETFs provide static exposure-your BTC holdings won't grow unless inflows support it," he wrote on X, challenging the notion that ETFs undermine treasury companies according to the report. Przemysław Kral, CEO of European crypto exchange zondacrypto, warned of thin weekend liquidity exacerbating price swings, but noted that long-term investors could capitalize on lower entry points according to market analysis.

While Bitcoin ETFs hemorrhage, new crypto products are attracting capital. The debut of the first U.S. XRP ETF on November 13 generated $243 million in inflows, outperforming initial projections. Solana (SOL) ETFs also extended their inflow streak, adding $12 million on November 14. These developments highlight a broader diversification of crypto investment vehicles, with 21Shares and Canary Capital launching multi-coin and memecoin-focused funds according to market reports.

Not all institutions are retreating. Harvard University tripled its stake in BlackRock's IBIT, holding $442.8 million worth of shares as of September 30. The move, described by Bloomberg's Eric Balchunas as "a mere 1% of Harvard's total endowment," underscores cautious optimism about Bitcoin's long-term potential despite short-term turbulence. Meanwhile, Ethereum ETFs continued their outflow trend, losing $259 million on November 13 - the largest single-day withdrawal since early November. A visual representation of Bitcoin's performance will aid in analyzing the depth and potential reversal of the current bearish trend.

The market's technical outlook remains mixed. Bitcoin's drop below $94,000 - a level not seen since May - has triggered debates over whether the sell-off signals capitulation. Traders are closely watching support levels and macroeconomic catalysts, including the resolution of the U.S. government shutdown, for clues about the next move according to market analysis.

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