Continued Net Outflows Hit US Spot Bitcoin ETFs, Led by Grayscale's GBTC

US Bitcoin exchange-traded funds (ETFs) experienced net outflows on Monday, reversing the prior week's net inflows of $860 million. Outflows from Grayscale's GBTC, totaling $302.6 million, outweighed inflows of $165.9 million from BlackRock's IBIT, resulting in a net outflow of $85.7 million. Fidelity's FBTC saw inflows of $44 million, while Invesco's BTCO gained $4.2 million. Ark Invest 21Shares' ARKB ETF recorded its first outflows since inception, losing $300,000. Total net inflows currently stand at $12 billion.

Continued Net Outflows for US Spot Bitcoin ETFs, Led by Grayscale's GBTC

On Monday, the combined net flows of US spot Bitcoin exchange-traded funds (ETFs) reversed their previous trend of daily inflows, resulting in a net outflow of $85.7 million. This reversal was primarily driven by substantial outflows from Grayscale's converted GBTC fund, which overshadowed inflows from BlackRock's dominant IBIT ETF.

According to data from CoinGlass, Grayscale's GBTC fund experienced outflows of $302.6 million yesterday, while BlackRock's IBIT ETF saw inflows of $165.9 million. Fidelity's FBTC fund placed third with $44 million worth of inflows, followed by Invesco's BTCO with $4.2 million.

However, Ark Invest 21Shares' ARKB ETF experienced its first outflows since trading commenced on January 11, losing approximately $300,000. The remaining funds registered inflows ranging from zero to $2 million.

Despite this setback, total net inflows for US spot Bitcoin ETFs currently stand at over $12 billion.

Persistent Selling Pressure on GBTC

Grayscale's GBTC fund has faced持续 elevated selling pressure, with total outflows exceeding $15 billion since trading began on January 11. In bitcoin terms, the fund has shed 46% of its holdings, dropping from around 619,000 BTC to 333,619 BTC ($22 billion) over the period.

Analysts had previously suggested that a potential sale of 35.9 million GBTC shares by Genesis Global Holdco LLC, valued at approximately $2 billion, could have contributed to the recent selling pressure.

While outflows from GBTC had shown signs of slowing down in recent days, yesterday's outflows represented a jump back above the fund's daily average of $274 million. However, it is worth noting that markets were closed on Good Friday and this may have impacted Monday's figures.

"Honestly higher than I expected," commented Bloomberg ETF analyst James Seyffart on yesterday's GBTC outflows. "I thought this would have slowed down by now."

BlackRock's IBIT Dominates

BlackRock's IBIT ETF has emerged as the largest holder of bitcoin under management among US spot Bitcoin ETFs, with over 252,000 BTC ($17 billion). Fidelity's FBTC fund ranks second with more than 144,000 BTC ($10 billion).

Declining Trading Volumes for Spot Bitcoin ETFs

The trading volumes for US spot Bitcoin ETFs have been on a downward trend since peaking at $9.93 billion on March 5, when bitcoin first surpassed its previous cycle's all-time high. On Monday, the combined trading volume for these ETFs was $3.03 billion, with IBIT accounting for $1.37 billion. GBTC and FBTC generated $806 million and $556 million, respectively.

Cumulative trading volume for all spot Bitcoin ETFs now stands at $184.6 billion.

Bitcoin Price Retreats

Bitcoin is currently trading at $66,007, down approximately 4.5% over the last 24 hours. The cryptocurrency had begun trading above $71,000 on Monday.

The broader cryptocurrency market also experienced a decline, with the GMCI 30 index, representing the top 30 cryptocurrencies, falling 5.4% to 144.80 in the past 24 hours.

Market Volatility Leads to Liquidations

Market volatility has resulted in the liquidation of over $135 million worth of bitcoin positions during the past 24 hours, with $93 million of those liquidations involving long positions.