Bitcoin ETFs See $866M Outflows in Second-Worst Day, Some Analysts Still Bullish
Bitcoin spot ETFs suffered $866 million in net redemptions in what ranked as the second-worst day on record, a wave of selling that coincided with the end of the US shutdown and sent BTC to its lowest level in six months. The scale of outflows has renewed scrutiny of ETF liquidity dynamics and raised questions about the depth of investor appetite once headline news triggers risk-off positioning.
While the short-term picture looks negative, several market strategists argue the episode reflects transient positioning rather than a fundamental shift in adoption. They point to continued institutional interest, the structural benefits of ETF access, and historical volatility patterns as reasons to expect recovery. That said, the move underscores heightened tail-risk for traders and the need for investors to account for episodic ETF-driven flows when sizing positions.