Institutional investors withdrew during the Christmas holidays, resulting in a net outflow of $782 million from the spot Bitcoin ETF.
TL;DR
During the Christmas week, US spot Bitcoin ETFs saw a net outflow of $782 million, with BlackRock, Fidelity, and Grayscale experiencing significant withdrawals. This marks the sixth consecutive day of outflows, totaling over $1.1 billion, likely due to year-end rebalancing and holiday liquidity, not market panic.
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According to ChainCatcher, data shows that US-listed spot Bitcoin ETFs experienced large-scale outflows during the Christmas week, with a cumulative net outflow of approximately $782 million. Friday saw a single-day net outflow of $276 million, marking the peak of the outflows during the holiday period.
Specifically, BlackRock's IBIT saw a single-day outflow of nearly $193 million, Fidelity's FBTC saw an outflow of approximately $74 million, and Grayscale's GBTC continued its small but persistent redemptions. As a result, the total assets of Bitcoin spot ETFs fell to approximately $113.5 billion, down from over $120 billion earlier in December.
It is worth noting that while funds were flowing out, the price of Bitcoin remained around $87,000, indicating that this withdrawal of funds was more likely due to year-end asset rebalancing and decreased holiday liquidity, rather than market panic.
Analysis indicates that this marks the sixth consecutive trading day of net outflows from the spot Bitcoin ETF, with a cumulative outflow exceeding $1.1 billion, marking the longest outflow period since this fall. However, institutional investors believe that holiday outflows are not uncommon, and with trading resuming in January, institutional funds may flow back in, making ETF fund flows more relevant at that time.