BlackRock’s Bitcoin ETF saw outflows for the first time since May

BlackRock’s Bitcoin exchange-traded fund (ETF), the iShares Bitcoin Trust, saw an outflow of $13.5 million on Thursday. This was IBIT’s first exit since May 1. Thursday’s outflow was the second for the iShares Bitcoin Trust since its launch in January. The ETF has seen consistent flows almost daily, cementing itself as a dominant Bitcoin investment product.

Before Thursday’s $13.5 million exit, the last time the fund saw withdrawals was May 1, when $37 million was withdrawn. This coincided with Bitcoin hitting a local low of $56,000.

The exit comes as spot Bitcoin ETFs posted a third consecutive day of withdrawals totaling $71.8 million on Thursday. Competing Bitcoin ETFs from Grayscale, Fidelity, Valkyrie and Bitwise also saw outflows ranging from $8 million to $31 million.

Meanwhile, ARK’s Bitcoin ETF saw an inflow of $5.3 million, bucking the negative trend. Mixed flows highlight diverse investor outlook amid Bitcoin stalling below $60,000. BlackRock’s IBIT seeing an exit for the first time in months is a notable development. It could indicate that the bottom is the same as last time or this could be the start of more exits.

However, BlackRock’s Bitcoin ETF still attracted more than $20 billion in net inflows over its lifetime. It remains the dominant spot Bitcoin fund with over 350,000 BTC under management, making it one of the largest institutional holders of Bitcoin.