Crypto Investors Dump $152 Million from Bitcoin ETFs in 24 Hours: What Next?

In a recent revelation by Wu Blockchain, a prominent blockchain analytics firm, there has been a significant movement of funds away from US Bitcoin spot ETFs. On June 18 alone, a staggering $152 million was withdrawn, with attention focused on Fidelity’s FBTC and Grayscale’s GBTC among the major ETFs experiencing outflows.

This marks the fourth consecutive day of substantial withdrawals from these crypto investment products.

Why Are People Leaving?

According to Wu Blockchain’s latest data, June 18 saw a notable $152 million outflow from US Bitcoin spot ETFs, underscoring a notable shift in investor sentiment. Leading the retreat was Fidelity’s FBTC, with the largest single-day outflow of $83 million among the 11 ETFs monitored.

Grayscale’s GBTC followed closely behind, with a significant net outflow of $62.3397 million. Notably, historical data shows GBTC has witnessed total outflows amounting to $18.273 billion, highlighting a sustained trend of divestment from the Grayscale Bitcoin Trust.

Despite these withdrawals, the collective net asset value of Bitcoin spot ETFs remains substantial at $56.056 billion

Impact on the Crypto Market

As the price of bitcoin continues to fall from $70K and now settles around $65,153, concerns arise in the crypto space about its price movement. Taking on to X, Bitcoin analyst Willy Woo explained why we haven’t seen a big price jump yet. He says it’s because some miners stopped mining, which means fewer people are trading Bitcoin.

Furthermore, Woo talked about how many people are betting on Bitcoin’s price using paper, not actual coins. Using a z-score oscillator represented by a solid yellow chart, he gauges the significance of this trend locally. 

Woo’s analysis suggests that for Bitcoin to regain bullish momentum and potentially reach new highs, more liquidations and increased trading activity are necessary. Until these conditions are met, the outlook for substantial price increases remains cautious.

Also Read : Crypto Analyst Predicts Ethereum Dominance to Surpass 20% by Year-End

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