CoinDesk
U.S.-listed spot bitcoin ETFs lost $643.3 million on Friday, their biggest single-day outflow since June 25 and the first trading session after the Binance hack. The withdrawals cut 63.6% from the funds’ just-over-$1 billion year-to-date net inflow, leaving the year barely positive. BlackRock’s IBIT led with $233.7 million in outflows, followed by Fidelity’s FBTC at $201.4 million.
Why it matters
Spot bitcoin ETFs offer investors exposure to BTC through exchange-traded funds, making their flows a closely watched proxy for institutional demand. Friday’s withdrawals came alongside a negative Coinbase premium, another sign of weaker buying pressure from U.S. investors. Bitfire Research said total assets under management fell below $100 billion to $98.14 billion, while spot ETH ETFs also recorded sustained weekly outflows.
Derive founder Nick Forster attributed the bitcoin ETF withdrawals to the $6.3 billion Binance hack late Thursday, saying the incident added uncertainty to a market already under pressure. The outflow does not establish a single cause, but the timing puts the security shock alongside signs of softer spot demand.
Market impact
Investors are watching several near-term events that could shape crypto-market sentiment: the Nov. 3 U.S. midterm elections, the Nov. 6 nonfarm payrolls report and MSCI’s final list of companies affected by its new rules for non-operating companies. The payrolls report could influence expectations for Federal Reserve interest rates, while potential MSCI exclusions of major corporate bitcoin holders add another point of focus.
Friday’s outflow was the 12th largest since spot bitcoin ETFs began trading in January 2024, narrowly exceeding the $635.5 million withdrawal recorded Oct. 22. The next flows will show whether the latest retreat was a one-day reaction or part of a more sustained weakening in demand.
Frequently asked questions
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How much did U.S. spot bitcoin ETFs lose on Friday?
They recorded $643.3 million in net outflows, the largest single-day withdrawal since June 25.
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How much of the funds’ year-to-date inflow did Friday’s withdrawal erase?
The $643.3 million outflow cut 63.6% from their just-over-$1 billion year-to-date net inflow.
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Which funds led Friday’s bitcoin ETF outflows?
BlackRock’s IBIT lost $233.7 million, while Fidelity’s FBTC lost $201.4 million.
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What other indicators pointed to weaker U.S. bitcoin demand?
The Coinbase premium was negative, and Bitfire Research reported that spot bitcoin ETF assets under management fell to $98.14 billion.
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Which upcoming events are investors watching for potential market effects?
Investors are tracking the Nov. 3 U.S. midterm elections, the Nov. 6 nonfarm payrolls report and MSCI’s final list of companies affected by its new rules.
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