Bitcoin News Today: Institutions Drive $3.79B ETF Exodus as Bitcoin Plummets

The U.S. spot bitcoin ETF market is hemorrhaging capital at an unprecedented rate, with combined outflows hitting $3.79 billion in November-the largest monthly exodus since the products debuted in early 2024. The rout, led by BlackRock's iShares Bitcoin Trust (IBIT), has accelerated Bitcoin's descent toward its worst monthly performance since the 2022 crypto crash, sending the token below $83,400 and raising questions about the sustainability of the asset's recent rally.

BlackRock's IBIT alone has accounted for 63% of total outflows this month, with $2.47 billion in redemptions as of Nov. 20. Fidelity's Wise Origin Bitcoin Fund (FBTC) followed closely with $1.09 billion in withdrawals, together comprising 91% of the sector's outflows according to data. The exodus has created a self-fulfilling spiral: as institutional investors pull money from ETFs, Bitcoin's price weakens, further spooking market participants. "The combination of record ETF outflows and collapsing corporate treasury inflows signals a broad loss of institutional confidence," said CryptoQuant CEO Ki Young Ju.

The selling pressure has pushed Bitcoin to its lowest level in seven months, erasing nearly 9% of its value in 24 hours. Ether has fared worse, dropping 7.6% to below $2,700, while altcoins like Solana and XRP also slid into bear territory. The pain extends beyond ETFs: digital asset treasury inflows have plummeted 82% from their September peak, with November on track to be the weakest month of 2025 for institutional Bitcoin accumulation.

Despite the gloom, newer ETFs for Solana and XRP have attracted modest inflows, drawing $300 million and $410 million respectively this month. Analysts attribute the divergence to shifting risk appetites, with investors rotating into more liquid or high-growth tokens amid the Bitcoin selloff. "Institutional investors are taking profits, but the market isn't done recalibrating," said Rachael Lucas of BTC Markets.

Market observers warn the downturn could deepen. QwQiao of Alliance DAO reiterated a September prediction that Bitcoin may face a 50% drawdown before stabilizing, while Placeholder co-founder Chris Burniske noted that the same forces that amplified Bitcoin's rise-ETF inflows and DATs-could now accelerate its fall.

The turmoil underscores the fragile equilibrium between institutional demand and retail sentiment. While ETFs once served as a reliable tailwind for Bitcoin's price, the November outflows highlight the vulnerability of the asset class to macroeconomic shifts and profit-taking cycles. With Wall Street's year-end positioning nearing completion, attention turns to whether December will bring a rebound-or further capitulation.