Despite a bullish market, institutional investors pulled $400 million from Bitcoin ETFs.
The Bitcoin spot exchange-traded funds (ETFs) experienced a significant downturn on November 14, with institutional investors withdrawing over $400 million despite Bitcoin reaching a record high of nearly $94,000 on Thursday.
The broader crypto market continued to trend positively, following Bitcoin’s BTC $87 720 24h volatility: 0.4% Market cap: $1.75 T Vol. 24h: $26.75 B impressive rally. However, institutional investors showed signs of caution, choosing to withdraw substantial amounts from Bitcoin ETFs.
Institutional Pullback despite Market Optimism
Data from SoSoValue, a leading crypto ETF tracker, indicates that Grayscale’s Bitcoin Trust (GBTC) recorded outflows of $69.59 million on Thursday. This large withdrawal reduced the fund’s cumulative net inflow to $20.25 billion.
As of November 14, GBTC’s daily trading volume stood at 5.19 million shares, equating to $367.35 million in value. The trust’s net assets currently total $19.13 billion.
This recent decline began on November 14, following days of positive inflows that started after Donald Trump’s election victory on November 6. On November 13, Grayscale’s mini BTC ETF recorded a notable $61.3 million in net inflows, ranking as the third best-performing fund for the day according to Coinspeaker.
Other major Bitcoin ETFs also saw significant outflows. Fidelity’s Wise Origin Bitcoin Fund (FBTC) reported outflows of $176 million, while the ARK 21Shares Bitcoin ETF (ARKB) saw $161.72 million withdrawn. Bitwise Bitcoin ETF (BITB) recorded $113.94 million in outflows.
WisdomTree Bitcoin Trust (BTCW) and Invesco Galaxy Bitcoin ETF (BTCO) reported no net changes, maintaining a neutral position with no recorded activity on November 14.
BlackRock and VanEck Defy the Trend
Despite the widespread outflows, BlackRock‘s iShares Bitcoin Trust (IBIT) and VanEck’s Bitcoin ETF (HODL) bucked the trend, reporting positive inflows of $126.53 million and $2.50 million, respectively.
These funds have managed to maintain their positive trajectory in spite of the overall negative market sentiment. Notably, on November 11, BlackRock’s IBIT contributed significantly to the industry’s $509 million inflow, bringing in $2.50 million in net daily inflows.
Over the past six weeks, BlackRock’s IBIT has been one of the top-performing funds in the industry. While it recorded a slight outflow of $10.8 million on October 10, it has consistently added millions to the ETF market daily, with the only other exception being November 5, when it experienced a $44.2 million outflow.
BlackRock’s strong performance amidst mixed signals from the market indicates a divergence in investor confidence, showcasing how strategic funds continue to attract institutional interest even when caution prevails across most other Bitcoin ETFs.
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