-
In the latest session, U.S. spot Bitcoin exchange-traded funds (ETFs) experienced net outflows totaling $450.3 million, marking the highest daily outflow since June 25.
-
The bulk of these outflows, approximately 84%, originated from Fidelity and BlackRock.
-
The Senate did not succeed in moving forward with the CLARITY Act, although Bitcoin proponents argue it’s unnecessary.
On Wednesday, Bitcoin (BTC) faced challenges reaching the $77,000 mark as U.S. spot Bitcoin ETFs recorded their largest daily outflow in almost three months the previous day.
The sell-off coincided with the Senate’s failure to advance the Digital Asset Market Clarity Act, known as the CLARITY Act.
Data from SoSoValue revealed that the total net outflow reached $450.3 million, the largest recorded daily outflow since June 25, when $696.3 million was withdrawn. This event also marked the biggest monthly outflow in September.
Fidelity and BlackRock Lead Outflows
The Fidelity Wise Origin Bitcoin Fund (FBTC) experienced the highest outflows, with $214.8 million withdrawn on Tuesday. Following closely was BlackRock’s iShares Bitcoin Trust (IBIT), which faced $161.7 million in net outflows. Combined, these entities accounted for roughly 84% of the day’s total withdrawals.
Other smaller funds also reported losses. The Grayscale Bitcoin Trust ETF (GBTC) observed $44.1 million in outflows, while the ARK 21Shares Bitcoin ETF (ARKB) experienced $417.4 million in losses, and the Bitwise Bitcoin ETF (BITB) faced $12.4 million in outflows.
The outflows on Tuesday alone were nearly equivalent to the entire weekly outflows from the previous week, which totaled $462.7 million over four trading days, spanning from September 8 to September 11.
At present, Bitcoin is trading at $75,880, reflecting a decline of over 1% in the past 24 hours. Sentiment among retail investors on Stocktwits has shifted to ‘bearish’ from ‘extremely bearish,’ with communication levels improving from ‘low’ to ‘normal’ over the same period.
Bitcoin Advocates Dismiss CLARITY Act Impact
The vote to advance the CLARITY Act failed with a result of 49-50, falling short of the required 60 votes for progression.
Supporters of Bitcoin claimed the outcome was inconsequential for BTC. Investor Anthony Pompliano stated on X shortly before the Senate’s announcement that “Bitcoin doesn’t require the Clarity Act, as it already possesses clarity.”
Echoing this viewpoint, Strategy Inc. Executive Chairman Michael Saylor remarked, “The only clarity required is Bitcoin.” However, Mike Novogratz, CEO of Galaxy Digital Inc. (GLXY), expressed a more pessimistic view, stating, “The government feels broken.” He indicated that 18 months of collaboration between the industry and both political parties collapsed “at the last moment.”