Bitcoin ETF Outflows Hit $3.8 Billion as Institutional Risk Appetite Cools

Bitcoin exchange-traded funds (ETFs) have been experiencing significant outflows in recent weeks, marking their longest stretch since February 2025. According to data, nearly $3.8 billion has been withdrawn from these funds over the past five consecutive weeks.

The largest contributor to this outflow was BlackRock's iShares Bitcoin Trust (IBIT), which saw redemptions totaling approximately $2.13 billion in the last five weeks. This trend suggests that institutions are reducing their investment positions, despite the overall market performance.

Notably, even with these recent outflows, the cumulative net inflows since the launch of ETFs remain at a significant $53.81 billion. Additionally, ETF adoption has exceeded initial market forecasts, indicating continued interest in regulated crypto investments.

The derivatives market also shows a more nuanced picture, with elevated leverage but reduced open interest compared to last year. This contrast highlights the complexities of market sentiment and the various factors influencing investor decisions.