Bitcoin ETFs Bleed $817M as BTC Crashes to 9-Month Low – Is the Worst Over?
Bitcoin spot exchange-traded funds (ETFs) skilled certainly one of the greatest one-day reversals of the yr on January 29, as buyers pulled out almost $818 million from U.S.-based merchandise as the Bitcoin value dropped to its lowest spot in 9 months.
Sosovalue information exhibits that spot Bitcoin ETFs recorded web every day outflows of $817.87 million on January 29, erasing beneficial properties from earlier in the month and pushing January into damaging territory general.
Despite the heavy withdrawals, cumulative web inflows since the launch of spot Bitcoin ETFs remained substantial at $55.52 billion, displaying how giant the market has grown even amid current volatility.
IBIT Leads Daily Bitcoin ETF Outflows as January Turns Negative
BlackRock’s iShares Bitcoin Trust remained the largest product by property, holding $64.90 billion, but it surely additionally led the day’s withdrawals. IBIT recorded $317.81 million in web outflows, equal to roughly 3,790 BTC.
Fidelity’s FBTC adopted with $168.05 million in outflows, whereas nonetheless sustaining cumulative inflows of $11.27 billion and whole property of $16.10 billion.
Grayscale’s GBTC continued its longer-term sample of redemptions, reporting a $119.44 million every day outflow.
Since changing to an ETF, GBTC has seen cumulative web outflows of $25.70 billion, although it nonetheless holds $13.42 billion in property.
Other issuers too fell, with Bitwise BITB shedding $88.88 million, ARK 21Shares ARKB shedding $71.58 million, and smaller drops in VanEck, Invesco, and different funds.
There have been different minor ETFs that recorded zero flows, indicating there have been neither web creations nor redemptions in the session.
The heavy every day pullback adopted a risky stretch all through January. After sturdy inflows earlier in the month, together with greater than $840 million on January 14, sentiment deteriorated quickly.
ETFs recorded giant outflows on a number of days, together with $708.71 million on January 21 and $483.38 million on January 20.
On a weekly foundation, the pattern was clearly damaging, with almost $1 billion in web outflows for the week ending January 29.
The entirety of January ended with web outflows approximated to be $1.1 billion, and this pattern was additionally characterised in December 2025.
Crypto and TradFi Slide Together as Risk Appetite Fades: BTC Slid Below $84,000
The ETF sell-off unfolded alongside a pointy downturn in the broader crypto market, with Bitcoin sliding as low as $81,200, breaking under the $84,000 assist degree that had held since mid-November.
The drop marked Bitcoin’s weakest value since November and got here as Ether, Solana, and XRP ETFs additionally recorded web outflows.
Total crypto market capitalization fell about 6% on the day, whereas compelled liquidations cleared greater than $1.8 billion in leveraged positions, principally from lengthy merchants.
Market weak spot was not confined to crypto, as the conventional market was affected, with gold falling sharply after just lately reaching document highs, whereas fairness markets additionally declined.
Analysts pointed to a mixture of macro components, together with renewed tariff threats from U.S. President Donald Trump and issues round synthetic intelligence-related tech shares following a steep drop in Microsoft shares.
They additionally pointed to lingering uncertainty after the Federal Reserve held rates of interest regular whereas signaling endurance on future easing.
CryptoQuant analysts described Bitcoin’s decline as comparatively average in contrast to strikes in conventional markets, noting that gold and silver skilled steeper corrections.
Data confirmed that open curiosity on main exchanges had climbed again above ranges seen earlier than a significant October liquidation event, displaying a continued urge for food for leverage regardless of current volatility.
Bitcoin’s Fear and Greed Index dropped to 16, a degree usually related to excessive worry and capitulation.
As Bitcoin sentiment weakens, analysts warn bearish situations might stick with lower cost targets.
Analysts noted a possible retest of the 200-week SMA close to $57,974, a degree traditionally seen as long-term worth.
The put up Bitcoin ETFs Bleed $817M as BTC Crashes to 9-Month Low – Is the Worst Over? appeared first on Cryptonews.
