Bitcoin exchange-traded funds (ETFs) extended losses Wednesday as BTC approached the $70,000 mark, adding pressure across digital-asset markets.
According to data from SoSoValue, spot Bitcoin (BTC) ETFs recorded $545 million in outflows on the day, pushing weekly flows negative with $255 million in net outflows.
Year-to-date, the funds have attracted $3.5 billion in inflows but seen $5.4 billion in redemptions, leaving them net negative by $1.8 billion. Total assets under management stand at $93.5 billion.
The bearish ETF sentiment mirrors broader market weakness, with total cryptocurrency market capitalization down around 20% year-to-date, falling from about $3 trillion to $2.5 trillion at the time of publication, according to CoinGecko.
Bitcoin ETF investors HODL, with only 6% of assets exiting the market
Despite facing their biggest losses since launching two years ago, some analysts say Bitcoin ETFs are resilient amid the volatility.
Cumulative net inflows for spot Bitcoin ETFs are $54.8 billion, just 13% below the peak of $62.9 billion in October last year. “That’s not too shabby considering these funds took in around $63 billion at their peak,” Bloomberg ETF analyst James Seyffart said.
Eric Balchunas, senior ETF analyst at Bloomberg, said the majority of Bitcoin ETF investors have held positions despite the downturn. Balchunas estimated that only around 6% of total assets have exited the funds, even as Bitcoin prices have fallen sharply and many investors remain underwater. He also noted BlackRock’s iShares Bitcoin ETF (IBIT) saw assets drop to $60 billion after briefly peaking near $100 billion. “It could stay stuck at this level for the next three years and it would still be the all-time fastest ETF to hit $60 billion,” he added.
Altcoin funds showed mixed flows: Ether (ETH) ETFs recorded $79.5 million in outflows Wednesday, XRP funds posted $4.8 million in inflows, and Solana (SOL) ETFs saw $6.7 million in outflows.
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