BlackRock’s IBIT Sees $2B in Outflows Over Nine Trading Days

IBIT Leads Nine-Day Outflow Streak

BlackRock’s iShares Bitcoin Trust (IBIT) recorded more than $2 billion in net outflows over nine consecutive trading sessions through Wednesday. The fund, which serves as a primary vehicle for institutional and retail access to spot Bitcoin in the United States, saw investors pull a net $269.7 million from the product on Wednesday alone.

These withdrawals accounted for approximately 90% of the total $300 million in net outflows across US spot Bitcoin ETFs on that day. The daily outflow represented a sharp increase from the previous session, when US spot Bitcoin ETFs saw $95 million in withdrawals. This spike followed three prior sessions where outflows had eased, indicating that the downward pressure on capital flows has not fully abated.

Other Issuers Show Mixed Activity

While IBIT dominated the outflow figures, other major issuers experienced varying levels of activity. Grayscale’s Bitcoin Trust ETF (GBTC) recorded $39.1 million in net withdrawals on Wednesday. In contrast, the Morgan Stanley Bitcoin Trust ETF (MSBT) drew in $9 million in net inflows, providing a small counterpoint to the broader trend of capital leaving the sector.

Over five straight trading sessions, US spot Bitcoin ETFs posted nearly $1.44 billion in net withdrawals. Data from Farside Investors and other market trackers confirm that the recent surge in Wednesday’s outflows marks a significant shift in market sentiment, reversing the slight stabilization seen in the days prior.

Market Reaction and Derivatives Signals

Bitcoin traded near $73,000 at the time of writing, down 8.5% over the past week according to CoinGecko. Laser Digital’s derivatives trading desk pointed to weak spot demand, a persistently negative Coinbase premium, and large liquidations of leveraged long positions in a Wednesday note. The firm also noted that Bitcoin barely rose during Monday’s rebound in the Nasdaq, which gained almost 3% on that day, suggesting that traditional equity market strength has not yet translated into significant gains for the cryptocurrency.

Bitfinex commented on the recent flow patterns, stating that slowing ETF outflows could be an early step toward a market floor, but were not enough on their own to establish a recovery. The exchange highlighted historical data collected earlier this year, finding that in ETF outflow streaks, Bitcoin gained a median 6.4% over 10 trading sessions when the streaks ended with at least three consecutive sessions of net inflows. Current market conditions have not yet met this threshold for a confirmed reversal, as the latest session returned to net outflows rather than inflows.

The persistence of outflows from BlackRock’s fund, which dominates the US spot Bitcoin ETF market, continues to weigh on investor sentiment. As capital moves out of these products, the correlation between ETF flows and spot Bitcoin prices remains a critical metric for market participants monitoring the sector’s stability.