TLDR
- BlackRock’s Bitcoin ETF recorded $527.84 million in net outflows on Wednesday.
- IBIT posted its second-largest daily withdrawal since launching in January 2024.
- U.S. spot Bitcoin ETFs lost a combined $733.43 million on the same day.
- Bitcoin fell below $73,000 as renewed Middle East tensions hit market sentiment.
- A $1.29 billion dark-pool IBIT trade added more focus on institutional selling.
BlackRock’s Bitcoin ETF has recorded one of its largest daily withdrawals since launch, as spot Bitcoin funds faced heavy redemptions during a sharp fall in BTC price.
According to SoSoValue data, BlackRock’s iShares Bitcoin Trust, known as IBIT, posted $527.84 million in net outflows on Wednesday. The figure ranked as the fund’s second-largest single-day withdrawal since it began trading in January 2024.
BlackRock’s Bitcoin ETF Nears Record Outflow
The latest outflow came close to IBIT’s largest daily withdrawal of $528.3 million, recorded on Jan. 30. Wednesday’s total missed that record by roughly $500,000, based on SoSoValue figures.
IBIT remains the largest institutional bitcoin vehicle, with about $59 billion in assets. The fund also accounts for nearly 4% of Bitcoin’s total supply, according to the report.
The withdrawal did not happen in isolation. SoSoValue data showed that the 11 U.S.-listed spot Bitcoin ETFs lost $733.43 million on Wednesday. Fidelity’s FBTC recorded $60.30 million in net outflows, while Grayscale’s GBTC lost $104.76 million.
Spot Bitcoin ETFs Extend Withdrawal Streak
According to the same fund-flow data, U.S. spot bitcoin ETFs have now posted several straight sessions of withdrawals. More than $2 billion has been left in the products over the past two weeks.
The ETF pressure came as Bitcoin fell below $73,000. The cryptocurrency traded at $72,978 during Asian hours on Thursday, down 3.4% over 24 hours, according to the market data cited in the report.
The price decline followed renewed geopolitical tension after U.S. airstrikes hit an Iranian military site near the Strait of Hormuz. The report said the event revived conflict concerns that markets had recently started to price out.
Large IBIT Trade Adds To Focus
A separate transaction added more attention to BlackRock’s Bitcoin ETF earlier in the week. On Tuesday, one investor sold $1.29 billion worth of IBIT shares through a dark-pool block trade, according to the report.
A dark-pool trade allows large investors to complete private transactions without immediately showing the full order to the public market.
The report noted that the block sale was not equal to a net ETF outflow, because buyers can take the other side of the trade. IBIT’s actual net redemption on Tuesday stood at $192.44 million, according to the same data.
Still, the Tuesday block trade and Wednesday outflow showed that some institutional investors reduced Bitcoin exposure as the macro backdrop worsened.
Bitcoin Price Falls As ETF Demand Weakens
The report also said ETF accumulation had already slowed this year to a net total of around 4,500 BTC. In May, fund activity moved from the steady buying seen in March and April into net selling.
Bitcoin has fallen from above $82,000 on May 6 to below $73,000, according to the market figures cited in the report. The ETF channel, which helped support Bitcoin’s 2025 rally, has now worked in the opposite direction during May.
Whether the withdrawals remain short-lived will depend on future fund-flow data and the geopolitical situation in the Middle East, according to the report. IBIT has seen outflow streaks earlier in the cycle before fresh inflows returned when macro pressure eased.
