US Bitcoin Exchange Traded Funds (ETFs) ( have experienced the largest fund outflow to date! Here are the details

Bitcoin exchange-traded funds (ETFs) in the US experienced the largest daily net outflow ever on Tuesday, with investors surprisingly withdrawing $937.78 million amid changing market dynamics.

A record daily outflow of $937 million was seen in the US Bitcoin ETFs

According to SoSoValue's data, record-breaking outflows occurred as Bitcoin fell below $87,000 (BTC), hitting a three-month low and dragging down the wider crypto market.

Fidelity and BlackRock Led the ETF Launch

• Fidelity's FBTC saw the largest outflow at 344.65 million dollars.
• BlackRock's IBIT was followed by a $164.37 million exit.
• Each of the remaining spot BTC ETFs recorded an outflow of less than $100 million.
• In the spot Ethereum ETFs listed in the US, there was a net outflow of 50 million dollars.

The sharp decline in ETF inflows is attributed to the decrease in the premium on Bitcoin futures listed on CME, making cash and carry arbitrage transactions much less attractive for institutional investors.

• According to Velo Data, the annualized one-month basis (premium) in CME Bitcoin futures, which was at 15% in December 2024, fell to approximately the lowest level in two years at 4% on Tuesday.
• Similarly, the basis in Ethereum futures has also dropped to around 5%.
• With the yield of the US 10-year Treasury bonds reaching 4.32%, the risk-free yield from bonds has become almost equal to the yield offered by BTC and ETH, reducing institutional demand.

As ETFs face increasing outflows, analysts argue that new catalysts will be needed to revive institutional interest in crypto ETFs. The ongoing market downturn and changing macroeconomic conditions have added more uncertainty to digital asset investments.