US Bitcoin exchange-traded funds (ETFs) saw their largest net outflows ever at $671.9 million. Fidelity’s FBTC led the charge with record outflows of $208.5 million, while BlackRock’s IBIT held steady with a net inflow of $0. This represents a significant shift in the market after seeing 15 consecutive days of BTC inflows.
The global digital asset market has seen a drop of over 6% in the past 24 hours, with Bitcoin and major altcoins hitting heavy red. The cumulative market cap of cryptocurrencies stands at $3.3 trillion with a trading volume of $275 billion. However, the fear and greed indicator is still flashing “greed” on the radar.
Bitcoin ETF Bleeding
According to Grayscale’s Bitcoin data, there was an outflow of $87.86 million, while Ark’s ARKB saw outflows of $108.4 million. GBTC’s total outflows are $21.24 billion. Grayscale’s BTC Small Fund saw outflows of $188.6 million, while Bitwise’s BITB reported a withdrawal of $43.6 million.
The largest bitcoin ETF by net assets, BlackRock, reported zero inflows among the rest of the funds. Meanwhile, WisdomTree’s BTCW turned out to be the only fund among all the BTC ETFs to record positive inflows of $2 million. The total trading volume of the 12 bitcoins was $6.3 billion on Thursday. The total net assets across all funds were $109.66 billion, representing 5.74% of Bitcoin’s total.
Bitcoin price is down about 8% in the past 24 hours, bringing its bullish streak to a halt. Despite breaking all records, Bitcoin is down 4.8% in the past seven days. Bitcoin is trading at an average price of $95,242, at the time of publication.
The selloff wasn’t limited to Bitcoin ETFs, as Ethereum-linked ETFs also broke their 18-day inflow streak. ETH-linked funds reported over $60 million inflows on Thursday, breaking all positive records. Grayscale’s ETHE fund remains the largest ETF with $4.81 billion under its belt.
Ether is also dealing with the same selling sentiment. The price of ETH is down 15% over the past seven days and down a whopping 10% over the past 24 hours. Ethereum is trading at an average price of $3,284, at press time.
The hawkish tone adopted by the Federal Reserve at the Federal Open Market Committee weighed on markets. Persistent inflation prompted the Fed to signal two rate cuts in 2025. This is less than the market expectation of three cuts and has dampened investor enthusiasm. It has also sparked a broad sell-off across risk assets.
The Fed’s shift isn’t the only factor, with experts suggesting that year-end profit-taking could also play a role. For now, Bitcoin remains resilient, having doubled in value this year amid ETF inflows and market optimism.
With fewer rate cuts expected in 2025, some investors are choosing to reduce exposure and take profits. The momentum has slowed, but the market is not done yet.