Key takeaways
- BlackRock's Bitcoin ETF recorded $405.3 million in outflows on Nov. 2
- US spot Bitcoin ETFs recorded approximately $1.04 billion in net outflows in two consecutive trading sessions
- BTC declined roughly 2% over the past 24 hours, approaching $76,500
US spot Bitcoin exchange-traded funds (ETFs) recorded another $398.6 million in net outflows on Monday. BlackRock's iShares Bitcoin Trust (IBIT) accounted for nearly all the withdrawals.
The fund suffered its largest single-day outflow since June, and only added to concerns about weakening institutional demand as Bitcoin (BTC) struggled to maintain the $77,000 level.
According to Farside Investors, BlackRock's IBIT recorded $405.3 million in net outflows, while Fidelity's Wise Origin Bitcoin Fund (FBTC) attracted $6.7 million in inflows. The remaining funds reported no net flows.
Bitcoin ETF flows (Source: Farside Investors)
BlackRock's IBIT Leads Bitcoin ETF Sell-Off
Monday's $405.3 million withdrawal was IBIT's biggest daily outflow since June and was a sharp reversal from the fund's recent inflow streak.
The latest withdrawals followed an already difficult end to October. On Friday, Oct. 30, IBIT lost $233.7 million. This brought its combined outflows across the two trading sessions to approximately $639 million.
Meanwhile, the overall US spot Bitcoin ETF market recorded approximately $1.04 billion in net outflows over the same period, which reversed the positive momentum that was established during the final week of October.
Friday's $643.3 million in total ETF withdrawals was also the industry's largest daily outflow since June 25.
Bitcoin Price Drops Below $77,000
Bitcoin's price also struggled over the past 24 hours. The crypto king declined approximately 2% and slipped below the psychologically important $77,000 level.
BTC traded close to $76,600 during early Tuesday trading, after falling from levels above $78,000 during Monday's session. The crypto briefly approached $76,500.
The weakness was not limited to cryptocurrencies. Technology stocks also faced selling pressure, while uncertainty surrounding the Nov. 3 US midterm elections added to market caution.
For now, Bitcoin's immediate support lies around $76,500. A sustained break below that level could potentially expose the cryptocurrency to further losses toward $75,000. On the other hand, reclaiming $78,000 could help stabilize sentiment and provide an opportunity for buyers to regain momentum.
Overall, the combination of substantial ETF withdrawals and declining Bitcoin prices suggests that institutional demand is still under pressure, and investors will be keeping an eye on whether BlackRock's IBIT can reverse its recent outflow trend.