Bitcoin ETFs Mark Seven Consecutive Days of Outflows as Year-End Rebalancing Continues
U.S. spot Bitcoin ETFs recorded their seventh straight day of net outflows on December 29, with Christmas week withdrawals totaling $782 million.
U.S. spot Bitcoin ETFs extended their losing streak to seven days on December 29, shedding $19.29 million as institutional investors continue year-end portfolio rebalancing.
What Happened
Spot Bitcoin ETFs recorded net outflows of $19.29 million on December 29, bringing Christmas week withdrawals to $782 million. BlackRock's IBIT led the losses with $7.92 million in redemptions, followed by Invesco's BTCO at $10.41 million and Ark & 21Shares' ARKB with $6.66 million.
Fidelity's FBTC stood out as the lone bright spot among major funds, posting $5.70 million in net inflows for the day. Other products including Bitwise's BITB, VanEck's HODL, and Grayscale's GBTC reported flat flows with no significant activity.
Why It Matters
Total net assets across spot Bitcoin ETFs have fallen to approximately $113.5 billion, down from levels above $120 billion earlier in December. Despite the pullback, the broader picture remains constructive. BlackRock's IBIT alone has attracted $25 billion in 2025, making it one of the most successful ETF launches ever.
Analysts attribute the recent outflows to seasonal factors rather than shifting conviction. Vincent Liu, chief investment officer at Kronos Research, noted that holiday positioning and reduced market participation typically drive year-end withdrawals, calling the pattern "not unusual."
What to Watch
Market participants will monitor whether the outflow streak reverses as trading activity normalizes in early January. Fresh institutional liquidity is expected to return in the first weeks of 2026, potentially reigniting demand for spot Bitcoin products.
Key Takeaways
The seven-day outflow streak reflects year-end portfolio adjustments rather than a fundamental shift in institutional sentiment. With IBIT alone attracting $25 billion this year, spot Bitcoin ETFs remain one of the most successful product launches in ETF history.
