Six-Week $6B Outflow Hits U.S. Spot Bitcoin ETFs

U.S. spot Bitcoin ETFs recorded roughly $5.94 billion in net outflows over six weeks, the longest continuous run of weekly redemptions since the funds launched in 2024. Industry figures put the worst 30-day stretch at about $6.35 billion through June 20. Bitcoin fell to near $58,000 after a hotter-than-expected inflation report and later steadied around $59,000.

Assets under management in the ETF group declined from above $104 billion to about $80 billion during the outflow period. Cumulative net inflows into the funds since their launch moved from near $63 billion to about $53.4 billion. The largest weekly withdrawal occurred in early June, when roughly $1.72 billion left the funds; by the week ending June 18, weekly outflows had slowed to about $226.8 million. One midweek trading day saw approximately $469 million leave the ETF group, the largest single-day outflow since early June.

On-chain and custody data show long-term Bitcoin holders-addresses that have held coins for at least 155 days-hold about 16.64 million BTC, roughly 83% of the circulating supply. Those holders largely maintained positions and continued net accumulation through the sell-off. The bulk of coins withdrawn from ETFs came from investors who bought through brokerages and the ETF wrapper.

VanEck’s on-chain analysis indicates realized losses rose about 78% month over month to roughly $714 million, and the realized-profit-to-loss ratio fell to 0.27 from 1.11. Much of the ETF-based selling came from investors who entered between roughly $55,000 and $68,000, locking in losses near their purchase ranges.

Macro developments contributed to market pressure. May’s core personal consumption expenditures inflation rose to 4.1% year over year, the highest since 2023, and traders increased the probability of a Federal Reserve rate hike later in the year. The inflation surprise coincided with liquidations of more than $1.2 billion in leveraged long positions across crypto markets.

Options activity also affected short-term moves. A recent $10.6 billion options expiry cleared with around 80% of open interest out of the money and concentrations of positioning near a $60,000 put and an $80,000 call.

Asset managers reported varying explanations for the redemptions. BlackRock attributed parts of the outflows to product rotation within client portfolios. A Deutsche Bank economist described Bitcoin as an institutional risk asset where ETF allocators and corporate treasuries are marginal buyers. Jeff Ko, chief analyst at CoinEx, described the slowdown in outflows as, “The deceleration is a sign the selling wave is wearing itself out rather than building.”

Trading volumes for spot markets, on-chain activity and ETF trading all eased from earlier highs during the outflow period. Coins migrated from newer ETF allocators into longer-term holders over the six-week window, and total ETF holdings remained a single-digit portion of the roughly $53 billion still in the funds.