Bitcoin investors yanked $635 million from spot ETFs in a day. Here’s what it means for price
The single-largest outflow since late January comes as bitcoin turns lower from the 200-day moving average.
What to know:
- Investors have pulled about $1.26 billion from U.S. spot bitcoin ETFs over the past five trading days, including a single-day outflow of $635 million on Wednesday, the largest since late January.
- Bitcoin’s rally has stalled below its 200-day moving average near $82,000, with the price slipping to around $79,400 as renewed U.S. inflation concerns weigh on the market.
- The once-tight link between ETF flows and bitcoin’s price has weakened, correlation study shows.
On Wednesday, investors yanked $635 million from these funds, the highest single-day net outflow since Jan. 29, according to data source SoSoValue. It wasn’t an isolated event either. Over the past five trading days, the ETFs have bled a total of $1.26 billion, pulling total net inflows since debut in January 2024 down to $58.5 billion from $59.76 billion a week ago.
Bitcoin has stopped rallying. Since last Wednesday, the upswing that carried prices from $65,000 to above $80,000 has stalled, with momentum running out of steam near the 200-day simple moving average positioned just above $82,000. In the past 24 hours, bitcoin has dropped over 2% to $79,400, with analysts attributing the loss to the resurgent inflation fears in the U.S., even though these macro developments have been largely shrugged off by Wall Street’s Nasdaq and S&P 500 equity index. Both these indices hit new highs on Wednesday.
