Bitcoin Spot ETFs have seen four straight days of withdrawals, leading to price declines across the crypto market.
Outflows Led by Grayscale
The Grayscale Spot ETF has been the main driver of the outflows, with investors expressing concerns about its high fees. This is the second time Spot ETFs have experienced four consecutive days of withdrawals since their approval for trading.
Outflow Details
The largest single-day outflow occurred on Tuesday, March 19, with $326.2 million leaving the fund. Subsequent days saw lower outflows, but they remained negative. On Wednesday, net outflows were $261.5 million, and on Thursday, they were $94 million.
Comparison to Previous Outflows
The last time Spot Bitcoin ETFs experienced four consecutive days of outflows was in January. However, that trend began when the ETFs had just started trading, unlike the current situation where outflows follow two weeks of inflows.
Impact on Bitcoin Price
In January, when outflows slowed down, inflows began to dominate and the Bitcoin price rallied from $40,000 to over $70,000 in two months. If this trend repeats, the Bitcoin price could start climbing again. However, if outflows continue, further price declines are possible.
