Bitcoin News Today: BlackRock Bitcoin ETF Faces $292M Outflow as Investor Sentiment Shifts

BlackRock’s iShares Bitcoin Trust (IBIT) has retreated to $63.80 this week, marking an 8.40% decline from its peak for the year. While the ETF remains 51% above its lowest level in 2025, it has seen a significant shift in investor behavior, with outflows intensifying recently. On Monday alone, the fund recorded a net outflow of $292 million, the largest in nearly nine weeks and the most substantial since May 2025, according to CoinGlass data [5]. This outflow brought the total assets under management to $83.8 billion, down from a high of over $86 billion in July [1].

The broader market for Bitcoin ETFs has also shown signs of cooling, with $333 million in outflows recorded on August 4 alone. This includes $292 million from IBIT and $372 million from BlackRock’s Ethereum ETF, ETHA, according to SosSo Value and CoinGlass data [4][8]. This trend indicates a possible reevaluation by investors of exposure to crypto-linked assets, at least in the short term.

The ETF’s performance remains closely tied to Bitcoin’s price action. Bitcoin has pulled back since July 14, dropping from a high of $123,192 to a low of $112,000, but it has since formed a bullish flag pattern and a break-and-retest pattern at the key support level of $112,000. These technical formations are often seen as continuation signals, suggesting the possibility of a rebound toward the previous high [1]. Bitcoin has also retraced to the 50-day Exponential Moving Average, reinforcing the likelihood of a near-term recovery.

Despite the recent outflows, some technical indicators remain positive. The oversold RSI and flattening MACD suggest that Bitcoin could stabilize and rise again if it holds above key support levels of $102,000–$104,000 [7]. If this scenario plays out, IBIT is expected to follow suit, given its tight correlation with Bitcoin’s price.

IBIT remains one of the most successful ETFs in history, having hit $10 billion in assets under management in just 34 days following its launch. It is BlackRock’s eighth-largest and most profitable ETF [6]. However, the recent outflows raise questions about whether the ETF can maintain its momentum amid shifting investor sentiment and broader market volatility.

Analysts remain cautiously optimistic, though some forecasts, such as a potential 18000% increase for the BlackRock ETF, should be treated as speculative and not reflective of current market conditions [2]. As the market digests recent movements, the focus will remain on Bitcoin’s ability to hold key support levels and whether investor confidence in crypto-linked ETFs rebounds in the near future.

Source: [1] Crypto (https://crypto.news/is-the-ibit-stock-a-buy-as-the-blackrock-bitcoin-etf-loses-traction/)

[2] Mitrade (https://www.mitrade.com/insights/news/live-news/article-8-1012920-20250805)

[4] Facebook (https://www.facebook.com/manuel.guevarra.369210/posts/blackrock-dumps-292m-btc-372m-eth-amid-crypto-etf-outflowsblackrock-has-transfer/738141****65736/)

[5] The Market Periodical (https://themarketperiodical.com/2025/08/05/blackrock-dumped-375m-in-eth-as-etf-outflows-escalated/)

[6] AInvest (https://www.ainvest.com/news/bitcoin-news-today-bitcoin-surges-114-000-institutional-adoption-fed-rate-cut-hopes-2508/)

[7] CoinDCX (https://coindcx.com/blog/price-predictions/bitcoin-price-weekly/)

[8] Sherwood News (https://sherwood.news/crypto/ethereum-spot-etfs-see-10-consecutive-days-of-positive-inflows/)