Bitcoin ETFs set an anti-record: six consecutive weeks of net capital outflows
American spot bitcoin ETFs have recorded the longest streak of outflows since their launch. As of June 18, the net withdrawal of funds from these instruments amounted to $90.66 million, marking the sixth consecutive week of negative dynamics.
Over the past month and a half, the total outflow from the funds has reached $5.94 billion. This is an unprecedented figure that signals a fundamental shift in sentiment among institutional investors. However, it is important to note that the pace of withdrawals is gradually slowing: while at the beginning of June the weekly outflow exceeded $1.7 billion, by mid-month it had decreased to $226 million.
Reasons for market pressure
The main catalyst for the current dynamics has been the shift of capital focus towards the artificial intelligence sector. Investors are actively reorienting towards AI company stocks in anticipation of high-profile IPOs, including the potential stock market listing of OpenAI. This creates a temporary liquidity deficit for crypto assets.
Additionally, a significant portion of the outflows is related to the unwinding of arbitrage trades, rather than a decline in demand for bitcoin itself as an asset. Long-term holders, including pension funds, are maintaining their positions, which points to the structural resilience of the market.
Macroeconomic backdrop
The price of bitcoin has stabilized around $64,000, but pressure from macroeconomic factors persists. The hawkish stance of the new Fed Chair Kevin Warsh, who has confirmed the intention to reduce inflation to 2%, continues to dampen appetite for risk assets. Analysts expect cryptocurrency quotes to remain in a sideways trend until the regulator eases monetary policy or clear positive drivers emerge in the industry.
Market innovations
Against this backdrop, BlackRock has launched a new product on the Nasdaq — the iShares Bitcoin Premium Income ETF, which combines exposure to the spot price of bitcoin with active selling of covered call options. This indicates that major players continue to seek ways to adapt to current market conditions.
My expert assessment: The current correction is cyclical in nature and is largely driven by capital flowing into alternative high-yield sectors. Once the macroeconomic situation stabilizes and regulatory uncertainty decreases, we will see a resumption of inflows into bitcoin ETFs. The fundamental indicators of the bitcoin network remain strong, and I view current levels as an accumulation zone for medium-term investors.