For the first time since its listing, spot Bitcoin ETFs have experienced net outflows for 10 consecutive trading days. From May 15 to 29, related products saw a total outflow of $2.96 billion, with BlackRock's IBIT experiencing the largest outflow at $2.11 billion, and Fidelity's FBTC also seeing significant redemptions.
Weak cash flow
Several asset management firms saw almost no net inflows over the past 10 days. The newer Morgan Stanley-related product, MSTB, also recorded an outflow of $5.4 million, indicating overall weak liquidity.
BTC and ETH both fell.
The article states that during this period, BTC fell from around $80,000 to the $73,000 range, while ETH also dropped from around $2,300 to $2,019.07. The author observes the price decline alongside ETF redemptions, concluding that the two occurred simultaneously.
Funding rates remain positive
Meanwhile, the OI-weighted funding rate for BTC continues to rise, indicating that many traders are still leveraging their long positions. The article points out that if spot buying doesn't keep up, the market could be more prone to a long squeeze.
- From May 15th to 29th, a total of $2.96 billion flowed out of BTC ETFs.
- BlackRock's IBIT saw a $2.11 billion outflow in 10 days.
- The price of BTC once fell from around $80,000 to $73,000.
