BlackRock’s spot bitcoin ETF, IBIT, experienced its largest single-day outflow since launching in January 2024, with $523.2 million withdrawn on Tuesday. This occurred despite a more than 1% rise in IBIT’s price as bitcoin climbed above $93,000.
The outflow contributes to a broader trend of net redemptions across bitcoin exchange-traded funds (ETFs) in November, which has seen persistent selling pressure despite bitcoin’s price fluctuations.
ETF Flows Show Mixed Activity Amid November Sell-Off
Other bitcoin-related ETFs showed inflows on Tuesday. Franklin Templeton’s EZBC ETF attracted $10.8 million, while Grayscale’s Bitcoin Mini Trust, BTC, added $139.6 million in net inflows. Nevertheless, the combined net flow across bitcoin ETFs was negative $372.8 million, marking the fifth consecutive trading day of net outflows.
November has been a challenging month for bitcoin ETFs, with only three days recording net inflows. Bitcoin itself is trading near $90,000, down approximately 30% from its October all-time high.
Market Insights and Historical Context
Since IBIT’s launch, total net inflows into spot bitcoin ETFs have reached $58.2 billion. CoinDesk Research noted a disconnect between bitcoin’s price decline in November and relatively modest declines in U.S.-based ETF assets under management, suggesting that much of the selling pressure is occurring outside of ETF vehicles.
Jim Bianco, head of Bianco Research, pointed out that the average purchase price for spot bitcoin ETF inflows since January 2024 is $90,146. With bitcoin trading above $91,000, this indicates that the average ETF investor is currently marginally profitable.
IBIT ETF Price Update
Following Tuesday’s outflow, IBIT’s shares declined 1.5% in premarket trading, trading around $52.
