Key Points
- Bitcoin exchange-traded funds (ETFs) experienced a full week of net outflows, setting a new record.
- BlackRock and Fidelity saw record low inflows for their Bitcoin ETFs during the same period.
The past week was marked by a unique occurrence in the world of Bitcoin ETFs. They experienced a record-setting five consecutive days of net outflows.
Unprecedented Outflows
The ten ETFs collectively saw outflows totaling $888 million, led by a record-breaking outflow from Grayscale’s GBTC on March 18. This five-day streak of outflows surpassed a previous four-day streak from January.
The outflows were accompanied by weak inflows. BlackRock’s IBIT, which accounts for nearly half the market, had a record-low inflow of $49.3 million on March 20. This record was broken two days later when IBIT received only $18.9 million in new capital.
Record Low Inflows
Fidelity’s FBTC, the third-largest spot Bitcoin ETF, also saw record-low inflows this week, with only $2.9 million added on March 21.
The substantial outflows coincided with a decrease in Bitcoin’s price. Other factors, such as trading by digital financial firm Genesis, may explain the large outflows.
Despite the net negative inflows, trading volumes remained significant, albeit slightly lower than in recent weeks. The combined volumes of the spot Bitcoin ETFs increased by approximately $22 billion over the past week, reaching a total of $164 billion.
