Spot Bitcoin ETFs See $195 Million Pulled In the largest Outflow In Two weeks

TLDR

• U.S. spot bitcoin ETFs saw $194.6 million in net outflows on Thursday.
• BlackRock’s IBIT ETF led with $112.9 million pulled by investors.
• Spot Ethereum ETFs had $41.6 million in net outflows on the same day.
• ETF trading volume dropped to $3.1 billion, down from $5.3 billion Tuesday.

U.S. spot bitcoin exchange-traded funds recorded net outflows of $194.6 million on Thursday, their largest single-day exit since November 20. This follows a smaller outflow of $14.9 million on Wednesday.

BlackRock’s iShares Bitcoin Trust (IBIT) led the outflows, with investors withdrawing $112.9 million. Fidelity’s FBTC saw the second-largest net outflow at $54.2 million. Data from SoSoValue confirmed that other ETFs, including VanEck’s HODL, Grayscale’s GBTC, and Bitwise’s BITB, also posted daily losses.

Drop in Trading Volume and Price Movement

Trading volume across the spot bitcoin ETFs fell to $3.1 billion on Thursday, down from $4.2 billion on Wednesday and $5.3 billion on Tuesday.

At the same time, Bitcoin’s price slipped 1.4% over the past 24 hours to $91,989 as of 1:30 a.m. ET Friday. Earlier in the week, the price had briefly touched $84,000 but later recovered.

Nick Ruck, director at LVRG Research, said that the sharp outflows were likely the result of basis trade unwinds. “The futures-spot spread compressed below breakeven levels, forcing arbitrageurs to sell holdings amid heightened market volatility,” he told The Block.

Market Anticipation for Inflation Data and Fed Rate Decision

Traders are now focused on upcoming U.S. inflation reports and the Federal Reserve’s interest rate decision expected on December 10.

Market watchers believe that a 25-basis-point rate cut could ease volatility. Ruck noted that if the Fed signals more easing in 2026, it may support market stability.

Timothy Misir, head of research at BRN, observed continued bitcoin accumulation. “Exchange balances have dropped to around 1.8 million BTC, the lowest since 2017,” he said. “The market opened with quiet strength. Accumulation is persistent, supply is thinning on exchanges, and price is stabilizing above the True Market Mean.”

However, Misir added that price momentum needs to push through the $96,000–$106,000 range for further strength.

Ethereum ETFs Also Record Outflows

Spot Ethereum ETFs also posted losses on Thursday, with $41.6 million in net outflows. This was a sharp contrast to the $140.2 million in inflows recorded on Wednesday.

Grayscale’s ETHE led the Ethereum ETF outflows, with $30.9 million pulled. Other Ethereum-based funds also reported reduced holdings, but no single fund matched the outflow seen in ETHE.

While Bitcoin ETFs saw their largest outflow in two weeks, Ethereum funds also mirrored the trend, suggesting investor caution across crypto products.

Arbitrage Pressures and Market Volatility

According to analysts, the current movement reflects the closing of basis trades. These trades depend on price differences between futures and spot markets. When spreads compress, as seen this week, traders often unwind their positions to prevent losses.

This activity often leads to increased ETF redemptions, which can cause temporary price pressure. Despite the outflows, trading data suggests ongoing accumulation by long-term holders.

CryptoQuant and Glassnode data show supply on exchanges is at its lowest level in eight years, indicating that many investors continue to hold their assets off platforms.

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