On October 30, U.S. spot Bitcoin Exchange-Traded Funds (ETFs) experienced a significant net outflow of $643.2 million, marking the highest daily withdrawal since June. This decline reversed four consecutive days of inflows, leaving the week in a negative position.
Summary
- Leading the withdrawals on Friday, BlackRock’s IBIT saw $233.7 million exit, trailed by Fidelity and ARK 21Shares.
- In the period from October 26 to 30, Bitcoin ETFs recorded net outflows of $202.4 million after a series of four days of gains.
- Ether funds suffered a loss of $155.7 million on Friday, resulting in total withdrawals for October reaching around $1.61 billion.
- Despite the recent selling activity, cumulative net inflows into U.S. Bitcoin ETFs still exceed $57 billion.
As reported by Farside Investors, Fidelity’s FBTC experienced losses of $201 million, and ARK 21Shares’ ARKB saw a decline of $129.5 million in the last trading session of October. Additionally, Grayscale’s GBTC noted outflows of $53.3 million, while Bitwise’s BITB lost $25.7 million.
Together, BlackRock, Fidelity, and ARK 21Shares were responsible for about $564.2 million, or approximately 87.7%, of the day’s total outflows. The remaining seven Bitcoin products did not see any positive inflows.
Withdrawals from Bitcoin ETFs Offset Weekly Gains
Prior to Friday’s downturn, these funds had amassed $440.8 million in inflows between October 26 and 29, as reported by crypto.news. Inflows started at $110.3 million on Monday, peaked at $176 million on Tuesday, and totaled $137.3 million on Wednesday, before tapering off to $17.2 million on Thursday.
The outflows on Friday surpassed the four-day inflow by $202.4 million, effectively transforming a previously positive week into a negative one. In contrast, the week of October 19 to 23 concluded with $301.2 million in net inflows.
Despite this, BlackRock concluded the five trading days with a positive net amount. IBIT generated $410.6 million in inflows over the initial four days, leading to a net inflow of $176.9 million after the Friday redemptions.
On the other hand, Fidelity’s earlier intake of $35 million was overshadowed by the $201 million withdrawal on Friday, resulting in a total weekly outflow of $166 million. ARKB did not register any inflows in the previous four sessions, making its Friday withdrawal its entire weekly loss.
The most recent daily outflow slightly surpassed the $635.6 million that was withdrawn on October 22. Farside’s historical data notes a larger withdrawal of $691.7 million recorded on June 25.
October Closes with Negative Trends Despite BlackRock’s Gains
Compiling Farside’s rounded daily totals reveals an overall net outflow of $515.9 million for Bitcoin ETFs in October. Before the last trading session, the month still registered a positive figure of $127.3 million.
Throughout October, IBIT attracted $932.1 million, while other Bitcoin funds collectively experienced losses of about $1.45 billion. Consequently, Friday’s withdrawals tempered BlackRock’s monthly intake but did not erase it entirely.
The divide among issuers was evident before the recent sell-off. A separate analysis covering the 30 days leading up to October 26 indicated $254.7 million flowing out of Bitcoin ETFs, contrasting with IBIT’s gains of $961.9 million. Fidelity reported losses amounting to $725 million during the same timeframe.
Since their launch in January 2024, U.S. Bitcoin ETFs have attracted $57.048 billion in net inflows, as per Farside’s data. IBIT’s cumulative inflow stands at $66.31 billion, while GBTC has seen net withdrawals of $28.049 billion.
Ether ETFs Experience Significant Withdrawals
Farside’s Ethereum dataset noted $155.7 million in withdrawals on Friday, bringing the total combined outflow for Bitcoin and Ether to $798.9 million.
BlackRock’s ETHA lost $76.6 million, followed by Grayscale’s Ethereum Mini Trust, which saw $34.1 million exit, and $21.5 million from its ETHE product. Additionally, BlackRock’s ETHB recorded $19.5 million in losses, Fidelity’s FETH decreased by $3.3 million, and Morgan Stanley’s MSSE had withdrawals of $700,000.
Ether funds ended each session from October 26 to 30 in the negative, leading to total weekly outflows of $431.4 million, up from $220.7 million in the prior five-session stretch.
In October, their cumulative daily outflows reached approximately $1.6072 billion. Earlier in the month, the decline continued with $320.1 million in withdrawals occurring from October 12 to 16.
Bitcoin Trades Below ETF Cost Estimate by Glassnode
On October 31, Bitcoin was trading near $77,364, according to CoinGecko, having dropped to a 24-hour low of $76,337.84.
In its report dated October 28, Glassnode estimated that the average purchase cost for Bitcoin held by U.S. spot ETFs is around $81,500, with the average investor cost, known as the True Market Mean, pegged at $77,900.
Frederik Theissen of Glassnode described ETF trading as relatively quiet prior to the Friday withdrawals. Daily trading volumes had averaged around $1.3 billion since May but dipped to $700 million on October 23, marking one of the calmest trading days of the year based on their data.