The first week of June is over, and the Spot Bitcoin [BTC] ETFs withdrew billions of dollars between June 1 and 5.
Overall, BTC ETFs saw net outflows of $1.72 billion during the first week of the June trading week, the second largest weekly outflows since launch.
However, the outflow trend that had been going on since May 15 was broken by an inflow of $3.2 million on June 4. That said, the inflows were so small that they couldn’t end the outflow trend, ending the week with $325.7 million.
Winners and losers of the week
The largest withdrawals in this case were $1.38 billion from BlackRock’s IBIT and $201.9 million from Fidelity’s FBTC. Morgan Stanley’s MSBT, the new entrant into the market, saw inflows of $35.1 million. The others observed zero currents.
Interestingly, the outflow trend continued on June 8, but total withdrawals fell to $91.4 million, with outflows for IBIT alone reaching $232.9 million. While some asset managers saw no flows at all, others saw minimal inflows.
Bitcoin market dynamics
This all happened when the price of Bitcoin had fallen from around $73,000 on June 1 to $62,639.14 at the time of publication.
This proves that the price action was not representative of the outflows. This is also because the outflow series did not start this week and has also occurred since May. It was the drop in Bitcoin’s price that was actually caused by the outflows.
Meanwhile, funding rates also remained positively in the green between June 1 and 5, indicating that traders were still generally bullish.
However, Bitcoin’s price continued to fall, indicating that market strength was waning and highly leveraged long positions were absorbing losses rather than fueling a recovery.
What about other ETFs?
Similar to Bitcoin ETFs, the Ethereum [ETH] ETF also saw modest outflows totaling $173 million. However, as of June 8, inflows had resumed, totaling $82.4 million.
AMBCrypto previously noted that Ethereum could remain vulnerable even as it shows near-term exhaustion until ETF flows stabilize and buyers start aggressively absorbing supply.
Interestingly enough, the Solana [SOL] ETF largely saw inflows, with the exception of June 3, which saw outflows of $12.8 million.
Following an exact pattern as the SOL ETF, the XRP ETF also had just one day of outflows worth $5.34 million on June 3.
Final summary
- The Spot Bitcoin ETF saw inflows worth $1.72 billion, with BlackRock’s IBIT seeing the maximum outflows.
- Ethereum ETFs followed similar patterns to Bitcoin ETFs, but SOL ETFs and XRP ETFs were almost in sync with each other.