Bitcoin’s price downturn has deepened, marking its fourth consecutive weekly close in the red – the longest such streak since June 2024. This persistent decline has been mirrored by significant capital flight from US Spot Bitcoin Exchange-Traded Funds (ETFs), which have also recorded four consecutive weeks of net outflows. Last week alone saw a staggering $1.22 billion exit these funds, bringing the total net outflow over the past month to an alarming $4.34 billion, a clear indicator of elevated risk aversion among institutional investors.
Spot Bitcoin ETFs Bleed for Four Weeks, IBIT Records Second-Worst Performance Ever
According to SoSoValue data, the week ending November 21 witnessed a cumulative net outflow of $1.22 billion from all US Spot Bitcoin ETFs. Despite minor inflows on Friday ($238 million) and Wednesday ($75.47 million), these were insufficient to stem the overall tide of withdrawals.
Among individual funds, BlackRock’s IBIT, the largest in terms of assets under management, bore the brunt of the capital exodus. It recorded a net outflow of $1.09 billion last week, marking its second-largest weekly outflow in history, surpassed only by the $1.17 billion outflow seen in late February. A significant portion of this came on Tuesday, when IBIT experienced its largest single-day net outflow of $523 million.
Bitcoin Price Corrects Sharply Amid Fragile Market Structure
This substantial capital flight coincides with what analysts are calling the largest cryptocurrency market correction of the current cycle. CoinGecko data reveals Bitcoin’s price plummeted from approximately $95,600 last Monday to a low of around $82,200 by Friday. While it has since recovered slightly to $86,444, showing a modest 0.9% daily gain, market analysts warn that the underlying structure remains “fragile.”
Vincent Liu, Chief Investment Officer at Kronos Research, anticipates Bitcoin will continue to consolidate within the $85,000 to $90,000 range. He specifically cautioned investors about the current market’s “shallow liquidity, which makes it extremely easy to trigger stop losses,” urging heightened vigilance.
Altcoin ETFs Buck the Trend, Attracting Fresh Capital
Mirroring Bitcoin’s somber performance, Ethereum ETFs also continued their streak of outflows, recording a net withdrawal of $502 million last week, marking their third consecutive week of capital depletion.
However, amidst this broader market cool-down, several altcoin ETFs have defied the trend by attracting significant inflows. Solana ETFs, for instance, saw a robust $128 million in net inflows last week, a substantial increase from the $46.34 million recorded the previous week. Similarly, Canary and Bitwise’s Ripple (XRP) ETFs collectively garnered $179 million in net inflows over the same period, indicating a shift in investor interest towards specific alternative assets.
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