Record Withdrawal From US Bitcoin ETFs Marks Largest Single-Day Outflow

ETF Institute Co-Founder: ‘Inflows Don’t Go up in a Straight Line’

Data sourced from coinglass.com reveals that these funds saw a withdrawal of $563.7 million on Wednesday, with Fidelity’s FBTC experiencing the highest outflow, totaling over $191 million. Grayscale’s Bitcoin Trust (GBTC) followed closely with withdrawals exceeding $167 million, while Blackrock’s IBIT reported its first negative outflow, nearing close to $37 million.

Previously, these ETFs had faced a steady decline over five consecutive days, with outflows summing up to $635 million before Wednesday’s substantial withdrawal of $563.7 million. Ark Invest’s ARKB, alongside Bitwise’s BITB and Invesco’s BTCO, experienced modest declines. On May 1, GBTC held 296,713.90 BTC, which diminished to 295,126.10 BTC by May 2.

The data reveals that GBTC divested 1,587.8 BTC since the trading session on Wednesday. After observing IBIT’s initial net reduction, Nate Geraci, co-founder of ETF Institute, commented on the event. “So, Ishares Bitcoin ETF has first day of outflows ($37M),” Geraci stated on X. “Has taken in [more than $15 billion year-to-date]. SPDR Gold ETF has [$3 billion] outflows and gold is up 16% [year-to-date].”

The ETF Institute co-founder added:

This is what ETFs do. Inflows don’t go up in [a] straight line.

Geraci’s remarks on the social media platform X did not resonate favorably with gold enthusiast Peter Schiff. “What’s the point of referencing gold ETFs? Central banks have been buying gold,” Schiff replied to Geraci’s post. “No central banks are buying bitcoin. Industries buys gold. No industry buys bitcoin. Bitcoin is not like gold. Gold can rise with ETF outflows. At this point, bitcoin can’t rise if ETFs are selling.”

What do you think about the massive outflows on Wednesday? Share your thoughts and opinions about this subject in the comments section below.