Spot Bitcoin ETFs Lose $463M Ahead of Fed Meeting

Spot Bitcoin exchange-traded funds recorded $462.7 million in net outflows over four trading days, according to SoSoValue data, marking their first weekly loss since mid-August. Withdrawals were $46.7 million on Tuesday, $120.2 million on Wednesday, $282.6 million on Thursday and $13.3 million on Friday.

The four-day withdrawal streak offset only a portion of about $3.8 billion that flowed into spot Bitcoin ETFs during the prior three weeks, a period when Bitcoin briefly traded above $80,000.

U.S. consumer prices rose 0.4% in August and 3.4% year-over-year. The benchmark 10-year Treasury yield approached 5% during the week before settling near 4.93% on Friday. Higher government bond yields raise the return available on interest-bearing assets and increase the opportunity cost of holding Bitcoin, which does not produce yield.

Ecoinometrics, a Bitcoin research platform, wrote, “The run of negative sessions remains too short to establish a lasting reversal in ETF demand.” The group added, “But an extended streak would make it increasingly difficult for Bitcoin to hold above $75,000.”

The Federal Open Market Committee is scheduled to meet Sept. 15-16. The policy decision is due at 2 p.m. Eastern time on Wednesday, followed by a press conference by Chair Kevin Warsh 30 minutes later. Market participants expect the first ETF flow reports after the Fed decision to clarify whether the withdrawals were short-term positioning or the start of broader redemptions.

Since their launch, spot Bitcoin ETFs have provided regular buying by acquiring and holding physical Bitcoin for investors, contributing to price support and the August advance above $75,000. Last week’s outflows removed part of that marginal demand but represented only a fraction of the prior three-week inflows.

Bitcoin’s price moved between roughly $76,000 and $79,800 late in the week, leaving $75,000 as an important reference level for traders and investors. Fund managers and investors will watch post-Fed ETF flows for signals on whether inflows resume or redemptions persist alongside elevated Treasury yields.