U.S. spot Bitcoin ETFs saw significant outflows last week as global risk aversion intensified. Data from Farside Investors shows approximately $290 million exited the funds, with BlackRock’s IBIT experiencing a single-day outflow of $201.5 million. Analysts attributed the shift to rising geopolitical tensions and fading hopes for a ceasefire, which contributed to a broader market downturn.
U.S. spot Bitcoin exchange-traded funds recorded net outflows of approximately $290 million last week. The heaviest single-day exodus was $225.5 million on Friday, according to data from Farside Investors. BlackRock’s IBIT fund alone shed $201.5 million on that day, marking the largest single-fund outflow.
Market analysts cited a broad “risk-off” shift gripping global markets. “Risk-off is clearly the mood amongst markets,” said Josh Gilbert, a market analyst at eToro, pointing to Bitcoin’s slide to a three-week low. Peter Chung, head of research at Presto Labs, stated the outflow was driven by the general risk-off trend as “the expectation for the ceasefire waned.”
Geopolitical risk escalated earlier in the week following statements from former President Donald Trump. Analysts noted this environment has fueled inflation fears and pushed out expectations for Federal Reserve rate cuts. Gilbert warned that without credible de-escalation, markets would remain defensive with “more choppy sessions ahead.”
Despite the outflows, some analysts downplayed their significance. Pratik Kala, head of research at Apollo Crypto, called the $290 million figure “quite normal” and cautioned against reading structural changes into weekly flow data. He noted that Bitcoin’s relative strength against other asset classes remains “notable and very supportive.” Kala also explained that ETF flows include substantial basis trading by hedge funds, which obscures simple directional signals.
At the time of reporting, Bitcoin was trading near $67,574. The cryptocurrency had earlier dipped into the $65,000 range amid the prevailing market sentiment.
