Capital is flowing out of US spot bitcoin exchange-traded funds (ETFs) for a third consecutive day. According to data compiled by Farside Investors on November 10, the 12 spot bitcoin ETF products trading in the US saw a combined net outflow of $201 million the previous day.
The exodus was concentrated in specific products. BlackRock's iShares Bitcoin Trust (IBIT) alone shed $213.2 million, exceeding the total net outflow. ARKB, managed by Ark Invest and 21Shares, also posted a net outflow of $9.9 million. In contrast, MSBT took in $22.1 million, leaving the flow picture mixed, while the remaining products saw no net inflows or outflows.
The move extends a recent run of outflows. In the prior week (November 2-6), US spot bitcoin ETFs recorded a net outflow of $1.282 billion over the week. Of that, IBIT alone accounted for $1.209 billion, or roughly 94% of the total. Over the same period, spot ether ETFs also saw a net outflow of $365 million, marking a sixth consecutive week of weekly outflows. Combined, outflows from spot ETFs tracking the two assets reached $1.647 billion last week.
Note: A minus (-) denotes net outflow; a plus (+) denotes net inflow.
Market watchers are focused on the pronounced outflows from IBIT, the largest product. IBIT is the biggest US spot bitcoin ETF by assets under management, and its supply-demand shifts have been viewed as a gauge of overall market direction. Some analysts interpret the recent concentration of outflows in IBIT as tied to institutions scaling back risk. The sixth straight week of outflows from ether ETFs likewise suggests institutional investor sentiment has yet to recover.
Still, the divergence in flows across products leaves room for the outflow trend to stabilize in the near term. With a small inflow into MSBT and no net flows in the remaining products, the capital flight appears confined to large products rather than spreading across the broader market. Whether IBIT's flows turn back upward is seen as the key variable that will determine fund flows across the entire ETF market going forward.
