Bitcoin Spot ETFs Witness Second Largest Outflow in History

On November 4, investors withdrew $541 million from BTC-ETFs. A larger outflow of $561 million was recorded only once before, on May 2, according to SoSoValue.

The negative trend continued for the second consecutive day.

The reversal occurred amid a narrowing lead of Republican candidate Donald Trump over Democratic rival Kamala Harris. The probability of Trump’s victory is estimated at 61%, down from 66% a week ago. This movement was accompanied by a pullback in bitcoin and its major competitors.

From October 27 to November 2, inflows into cryptocurrency investment funds totaled $2.18 billion. On October 30, BlackRock’s IBIT received $872 million, surpassing the March peak of $849 million.

On November 4, the sector leader’s product was the only one to show a positive dynamic, amounting to $38.4 million. Three other instruments showed no changes.

The outflows were distributed as follows:

• FBTC from Fidelity — $169.6 million;
• ARKB from ARK Invest and 21Shares — $138.3 million;
• BTC from Grayscale — $89.5 million;
• BITB from Bitwise — $79.8 million;
• GBTC from Grayscale — $63.7 million;
• HODL from VanEck — $15.3 million;
• BRRR from Valkyrie — $5.7 million.

Cumulative inflows since the approval of BTC-ETFs in January have decreased to $23.6 billion.

Bernstein had forecasted that a Trump victory would push bitcoin to $80,000-90,000, while a Harris victory would see it at $50,000.

Options traders have bet on a new high for the leading cryptocurrency by the end of November and increased volatility following the US elections.

Earlier, Tyr Capital and Bitget Research warned of heightened price fluctuations after the announcement of the presidential race results. A similar opinion was presented by Standard Chartered.