Bitcoin ETFs Lose $4.4 Billion in Two Weeks
BITmarkets Team
Jun 05, 2026
According to data from SoSoValue, spot Bitcoin ETFs saw $396.6 million in net outflows on Wednesday alone, pushing total withdrawals during the current streak to approximately $4.4 billion. This marks the longest outflow period on record, surpassing the previous streak of eight consecutive trading days in February 2025, when around $3.2 billion exited Bitcoin ETF products.
The decline in ETF demand has coincided with a significant drop in Bitcoin’s price. Since the outflow streak began on May 15, Bitcoin has fallen from around $80,000 to approximately $63,400, representing a decline of roughly 21%. Market analysts have pointed to weaker ETF demand, increased selling by long-term holders, and ongoing miner-related pressure as key factors behind the recent downturn.
BlackRock’s IBIT accounts for most withdrawals
Among the major ETF issuers, BlackRock’s iShares Bitcoin Trust (IBIT) experienced the largest redemptions during the current sell-off. Data from Farside Investors shows that IBIT recorded approximately $3.3 billion in outflows during the 13-day period, accounting for roughly 75% of all ETF withdrawals.
Fidelity’s Fidelity Wise Origin Bitcoin Fund (FBTC) ranked second with around $456.6 million in outflows, while Grayscale’s Grayscale Bitcoin Trust ETF (GBTC) followed with approximately $303.6 million leaving the fund. Over the past month, US spot Bitcoin ETFs collectively lost about 51,726 BTC, equivalent to nearly $5 billion at current market prices, according to WalletPilot.
Despite the recent withdrawals, BlackRock remains the largest Bitcoin ETF holder, managing approximately 786,800 BTC. Fidelity follows with around 181,770 BTC, while Grayscale continues to hold roughly 146,400 BTC.
Analysts debate the cause of weakening demand
Market participants remain divided over the primary drivers behind Bitcoin’s recent decline and the record ETF outflows. CryptoQuant’s head of research, Julio Moreno, noted that Bitcoin demand has contracted sharply, estimating that overall demand has fallen by approximately 501,000 BTC during the last month. According to Moreno, this represents the fastest monthly decline in demand since the market turbulence that followed the Terra/Luna collapse in 2022.
Not all analysts agree with the bearish interpretation, however. Bloomberg ETF analyst Eric Balchunas argued that major institutional buyers, including Bitcoin ETFs and Strategy, continue to accumulate Bitcoin on a net basis. “Forget the boomers, someone needs to 'call the OGs' — they are behind this,” Balchunas said.
Other market observers have suggested that derivatives markets may be playing a larger role in the recent price weakness. Some analysts believe leveraged positions and liquidation activity could be amplifying volatility, particularly given the relatively limited evidence of large-scale onchain selling.
CryptoQuant founder Ki Young Ju said that recent selling by early Bitcoin adopters and miners appears to reflect a broader transfer of supply toward US institutions, including ETFs and traditional investors. According to Ju, this ownership transition could ultimately strengthen long-term demand, even if it contributes to short-term market pressure as Bitcoin moves away from its early “cypherpunk” investor base.
Meanwhile, Standard Chartered’s head of digital assets research, Geoffrey Kendrick, suggested that Bitcoin ETF holdings have remained relatively stable since February despite recent market turbulence. He argued that this points to greater structural resilience than many market participants may expect.
Kendrick also noted that recent corporate Bitcoin sales have reinforced negative sentiment in the short term, highlighting Strategy’s sale of 32 BTC as an example that “fit the DAT naysayer thesis” and arrived at a time when Bitcoin was already facing significant pressure.
Sources:
https://www.coingecko.com/en/coins/bitcoin?chart=type%3Dprice%26mode%3Dline%26timeframe%3Dd30
https://cointelegraph.com/news/bitcoin-etfs-4-4-billion-outflows-13-day-streak
https://x.com/martypartymusic/status/2062220081703403889
https://x.com/ki_young_ju/status/2062405015818682571
https://x.com/jjcmoreno/status/2062379731962491299
