{"id":48204,"date":"2025-02-27T10:00:13","date_gmt":"2025-02-27T10:00:13","guid":{"rendered":"https:\/\/mycryptomania.com\/?p=48204"},"modified":"2025-02-27T10:00:13","modified_gmt":"2025-02-27T10:00:13","slug":"blackrocks-bitcoin-etf-sees-record-5000-btc-outflow-as-market-dip-deepens","status":"publish","type":"post","link":"https:\/\/mycryptomania.com\/?p=48204","title":{"rendered":"BlackRock\u2019s Bitcoin ETF Sees Record 5,000 BTC Outflow As Market Dip Deepens"},"content":{"rendered":"

BlackRock\u2019s iShares Bitcoin Trust (IBIT) experienced its largest single-day outflow <\/span>to date<\/span>, with investors pulling out 5,000 BTC, equivalent to $420 million\u2014on February 26. <\/span>This<\/span> marks a new record for the fund, surpassing the $332 million withdrawal <\/span>recorded<\/span> on January 2<\/span>. <\/span><\/p>\n

The broader market is also feeling the pressure, with total outflows from spot Bitcoin ETFs reaching $756 million for the day, according to preliminary <\/span>data from CoinGlass<\/span><\/a>. <\/span><\/p>\n

The ongoing outflows come amid a <\/span>staggering $1.1 billion exit<\/span><\/a> on February 24<\/span>, marking a seven-day streak of withdrawals <\/span>that has now totaled<\/span> nearly $3 billion. <\/span><\/p>\n

EXPLORE:\u00a0<\/span>10 Best AI Crypto Coins to Invest in 2025<\/span><\/a><\/strong><\/p>\n

Fidelity\u2019s Bitcoin ETF Sees $145.7 Million Outflow Amid Market Sell-Off<\/span><\/h2>\n

Fidelity\u2019s Wise Origin Bitcoin Fund (FBTC) was another major contributor to the outflows, shedding $145.7 million on the same day. <\/span><\/p>\n

Other funds, including those managed by Bitwise, Ark 21Shares, Invesco, Franklin, WisdomTree, and Grayscale, reported outflows r<\/span>anging <\/span>between $10 million and $60 million.<\/span><\/p>\n

The ongoing sell-off has significantly impacted the crypto market, with total market capitalization falling <\/span>by<\/span> 5.6% to $2.9 trillion on February 26. Bitcoin <\/span>itself<\/span> plunged to a low of $82,455, deepening its correction to 25% since reaching its all-time high on December 17. <\/span>Over $1 trillion in market value <\/span>has <\/span>been wiped out<\/span> during this downturn<\/span>.<\/span><\/p>\n

Despite the sharp decline, some analysts remain optimistic. CryptoQuant CEO Ki Young Ju cautioned against panic selling, emphasizing that a 30% correction is <\/span>common<\/span> during Bitcoin bull cycles. He noted that Bitcoin dropped 53% in 2021 before rebounding to new highs.<\/span><\/p>\n

FIDELITY SOLD
ARK SOLD
GRAYSCALE SOLD<\/p>\n

BUT BLACKROCK\u2026 ALSO SOLD $150M $BTC<\/a> pic.twitter.com\/Zfn4W2iIhk<\/a><\/p>\n

\u2014 Arkham (@arkham) February 26, 2025<\/a><\/p>\n\n

Industry experts, including BitMEX co-founder Arthur Hayes, suggest that much of the selling pressure comes from hedge funds using Bitcoin ETFs for arbitrage rather than long-term investment. <\/span><\/p>\n

As these yield opportunities fade, many traders <\/span>are unwinding<\/span> their positions, contributing to the sustained outflows. Hayes has projected that Bitcoin could fall to $70,000 if ETF outflows continue.<\/span><\/p>\n

Adding to the market uncertainty, traders have also set their sights on the $74,000 support level amid economic concerns, including potential trade tariffs from U.S. President Donald Trump. <\/span><\/p>\n

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Over Half of Spot Bitcoin ETF Investors Engage in Arbitrage Strategies, Says 10x Research<\/span><\/h2>\n

Markus Thielen, head of\u00a0<\/span>research<\/span>\u00a0at 10x\u00a0<\/span>Research<\/span>, <\/span>has also<\/span> noted that over half of spot Bitcoin ETF investors are involved in ETF arbitrage strategies.<\/span><\/p>\n

He said that the majority of the inflows, about 56%, are linked to arbitrage strategies, particularly the \u201ccarry trade.\u201d<\/span><\/p>\n

While the unwinding of these trades causes significant ETF outflows, Thielen stressed that the process is market-neutral, with simultaneous selling of ETFs and purchasing\u00a0<\/span>of<\/span>\u00a0Bitcoin futures effectively offsetting broader price impacts.<\/span><\/p>\n

EXPLORE:\u00a0<\/span>Best New Cryptocurrencies to Invest in 2025<\/span><\/a><\/strong><\/p>\n

\n

Key Takeaways<\/h3>\n

BlackRock\u2019s Bitcoin ETF saw a record outflow of 5,000 BTC ($420 million) on February 26.<\/span> <\/p>\n

The broader crypto market suffered a 5.6% decline, with Bitcoin dropping to $82,455.<\/span> <\/p>\n

Analysts attribute the sell-off to hedge funds unwinding arbitrage positions.<\/span> <\/p><\/div>\n

The post BlackRock\u2019s Bitcoin ETF Sees Record 5,000 BTC Outflow As Market Dip Deepens<\/a> appeared first on 99Bitcoins<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

BlackRock\u2019s iShares Bitcoin Trust (IBIT) experienced its largest single-day outflow to date, with investors pulling out 5,000 BTC, equivalent to $420 million\u2014on February 26. This marks a new record for the fund, surpassing the $332 million withdrawal recorded on January 2. The broader market is also feeling the pressure, with total outflows from spot Bitcoin […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-48204","post","type-post","status-publish","format-standard","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/48204"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=48204"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/48204\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=48204"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=48204"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=48204"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}