Bitcoin ETFs faced a major shake-up last week, with a staggering $1.8 billion in outflows. A single-day withdrawal of $938 million saw Fidelity’s FBTC take the biggest hit at $345 million, while BlackRock’s IBIT lost $164 million. Bitwise and Grayscale’s mini ETFs also saw nearly $90 million each exit.
Yet, Bloomberg senior ETF analyst Eric Balchunas isn’t sounding the alarm. He sees this as part of the normal ebb and flow of the ETF market. While the numbers may seem dramatic, outflows account for less than 2% of total Bitcoin ETF assets—meaning 98% remains intact.
Rather than signaling a mass exit, investors are adjusting and rebalancing in response to market conditions. Notably, the broader ETF market saw a $13 billion inflow on the same day, showing that investors weren’t fleeing risk—they were repositioning.
Balchunas frames this as the typical rhythm of investing: two steps forward, one step back. Bitcoin ETFs are not collapsing; they are moving through a natural cycle. Long-term investors who zoom out will recognize that, despite short-term volatility, the market keeps pushing forward.
For those focused on the bigger picture, this is just another day in crypto’s ever-evolving landscape.
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