BlackRock Bitcoin ETF experiences inaugural day of outflow amidst historic ETF depletion

Bitcoin exchange-traded funds (ETFs) based in the United States have experienced a significant outflow of funds, with BlackRock’s iShares Bitcoin Trust recording its first-ever outflow day. On May 1, Farside Investors reported that BlackRock’s Bitcoin fund saw $36.9 million flow out. Preliminary data from Farside revealed that nine other Bitcoin ETFs experienced combined outflows of $526.8 million, with the Hashdex Bitcoin ETF being the only one to have no flows. The Fidelity Wise Origin Bitcoin Fund had the largest outflow of $191.1 million, followed by the Grayscale Bitcoin Trust with outflows of $167.4 million. This marks the biggest single outflow day for U.S.-based spot Bitcoin ETFs since their launch in January. The ARK 21Shares Bitcoin ETF and Franklin Bitcoin ETF also experienced outflows of $98.1 million and $13.4 million, respectively. These outflows come as Bitcoin has seen a 10.7% decline over the past week. However, Nate Geraci, the president of ETF Store, highlighted that the iShares Gold ETF and SPDR Gold ETFs have had outflows of $1 billion and $3 billion, respectively, so far this year, despite gold’s 16% year-to-date increase. Bloomberg ETF analyst James Seyffart noted that the Bitcoin ETFs are still functioning smoothly and that inflows and outflows are a normal part of an ETF’s life.