Wall Street Rout Triggers $530M ETF Outflows as Bitcoin Slips
Key Summary
US spot Bitcoin and Ethereum exchange-traded funds experienced $530M in combined net withdrawals Thursday, reversing post-election gains as a broader Wall Street sell-off erased $3T in equity value. Farside Investors data confirmed Bitcoin funds lost $430.23M while Ethereum products shed $99.98M. BlackRock and Fidelity products absorbed the bulk of redemptions, pushing Bitcoin down 6.03% to $75,581.52 and dragging Ethereum to $2,237 amid escalating macroeconomic anxiety over regulatory restrictions.
Key Bullets
- US spot Bitcoin and Ethereum exchange-traded funds registered $530M in combined net withdrawals on Thursday.
- Data tracked by Farside Investors showed Bitcoin products shed $430.23M while Ethereum funds lost $99.98M.
- Fidelity FBTC led individual outflows with $199.87M in redemptions during the volatile trading session.
- Bitcoin fell 6.03% over 24 hours to $75,581.52 as equities suffered their steepest decline since the pandemic.
Wall Street Rout Spills Into Crypto
US spot Bitcoin and Ethereum exchange-traded funds suffered $530M in combined withdrawals Thursday as a broad Wall Street equities sell-off erased post-election market gains. Data compiled by Farside Investors showed that Bitcoin funds lost $430.23M on Nov. 5, while Ethereum investment vehicles recorded another $99.98M in outflows. The simultaneous decline across major risk assets abruptly reversed a brief $127.6M recovery from the previous session. Investors had briefly welcomed the resolution of uncertainty surrounding US congressional elections before macro selling pressure took hold.
The Kobeissi Letter reported that the Nasdaq 100 suffered its steepest daily decline since the 2020 pandemic. The S&P 500 shed $3T in market value amid heightened investor concern regarding potential federal policy shifts targeting artificial intelligence infrastructure. Equity turbulence directly infected digital asset markets. Bitcoin surrendered its rebound above $80,000, tumbling 6.03% over 24 hours to trade at $75,581.52. Ethereum retreated sharply to $2,237 after holding above $2,400 earlier in the week.
Fidelity and BlackRock Face Redemptions
Fidelity's FBTC suffered the largest single-day outflows among Bitcoin funds, shedding $199.87M just one day after drawing $236.7M in capital inflows. BlackRock's iShares Bitcoin Trust recorded $105M in withdrawals, marking its fifth consecutive trading session of negative flows. Over that five-day stretch, investors pulled approximately $1.04B from the single fund. Grayscale's GBTC lost $49.9M, while Franklin Templeton's EZBC and VanEck's HODL recorded redemptions of $32.92M and $23.64M, respectively. Zero funds across the 12 approved Bitcoin spot vehicles posted positive net inflows during the session.
Cumulative net withdrawals across all US spot Bitcoin ETFs reached approximately $1.51B over the five sessions since Oct. 30. Total net outflows for November reached $869.8M, building on heavy redemptions throughout late October.
Ethereum Products Suffer Similar Exodus
Ethereum investment vehicles faced parallel selling pressure as BlackRock accounted for nearly all institutional withdrawals in the asset class. The firm's ETHA fund lost $75.2M, while its staked Ethereum product, ETHB, registered $22M in outflows. Fidelity's FETH shed $2.24M, leaving the broader Ethereum ETF category with November net outflows reaching approximately $272M. Trading desks processed the redemptions immediately. Liquidity dried up across major order books.
The rapid acceleration of outflows across both token classes demonstrated the sensitivity of spot ETF wrappers to broader equity shocks. Capital fled institutional products instantly.
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