Bitcoin ETFs face record outflows as institutional investors pull $5.4B amid rising interest rates.
Bitcoin is trading around $63,600, down about 50% from its October 2025 peak, with spot Bitcoin ETFs experiencing historic outflows totaling $5.4 billion over four weeks. This institutional selling is driven mainly by macroeconomic factors, especially fading hopes for Fed rate cuts, making yield-bearing assets like bonds more attractive than Bitcoin. Despite the negative sentiment and ETF outflows, some institutions like Fidelity are still buying selectively, suggesting a redistribution from short-term traders to long-term holders. Traders should watch ETF flows, Fed policy signals, and market sentiment for clues on Bitcoin's next move.
Bitcoin is trading around $63,600, down about 50% from its October 2025 peak, with spot Bitcoin ETFs experiencing historic outflows totaling $5.4 billion over four weeks. This institutional selling is driven mainly by macroeconomic factors, especially fading hopes for Fed rate cuts, making yield-bearing assets like bonds more attractive than Bitcoin. Despite the negative sentiment and ETF outflows, some institutions like Fidelity are still buying selectively, suggesting a redistribution from short-term traders to long-term holders. Traders should watch ETF flows, Fed policy signals, and market sentiment for clues on Bitcoin's next move.
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