BlackRock's bitcoin ETF sheds $528 million, the second-largest daily outflow on record
BlackRock's iShares Bitcoin Trust (IBIT) experienced massive outflows of $528 million on Thursday, marking the second-largest single-day withdrawal in the fund's history. The record outflow comes as bitcoin prices faced renewed selling pressure, with the cryptocurrency trading below key technical levels that have concerned institutional investors.
The ETF, which launched in January 2024, has been one of the most successful bitcoin investment products, typically seeing consistent inflows since its debut. The fund has accumulated over $15 billion in assets under management, making it the largest spot bitcoin ETF by market capitalization. Thursday's outflows represent a significant reversal from the steady institutional adoption that has characterized the product's performance over the past year.
The substantial withdrawal reflects broader uncertainty in cryptocurrency markets as investors reassess their digital asset allocations amid changing regulatory expectations and macroeconomic headwinds. Other spot bitcoin ETFs also reported outflows, though none approached BlackRock's magnitude. The selling pressure contributed to bitcoin's decline below $40,000, a psychologically important level that many analysts view as a critical support zone.
Market participants will be closely monitoring whether the outflows represent a temporary profit-taking event or signal a more fundamental shift in institutional sentiment toward bitcoin exposure. Friday's trading session and the subsequent flow data from bitcoin ETFs will provide crucial insights into investor appetite for cryptocurrency investments.
Source: CoinDesk
