- Bitcoin experienced a significant pullback last week.
- A massive daily BTC decline coincided with last Friday’s significant ETF outflows.
- Spot Bitcoin ETF experienced a daily net outflow of $237.45 million last Friday.
Bitcoin experienced a significant pullback last week, with the price returning to the $60,000 region after an impressive run that took it above $70,000. The flagship crypto’s recent decline recorded its most significant loss last Friday by losing over 6% of its value during the day’s trading session.
Among other factors, analysts observed that Friday’s decline coincided with a massive outflow in the spot Bitcoin ETF market. Onchain data revealed that the U.S. spot ETFs logged a daily net outflow of $237.45 million on Friday, representing the highest single-day outflow level in the past three months and the fourth-highest since the ETFs launched in January.
According to data from SoSoValue, a leading cryptocurrency trading data platform, Grayscale’s recently launched Bitcoin Mini Trust was one of only two ETFs to record an inflow on Friday, with a minimal $9.88 million in additional funds. The other ETF to attract new funds on Friday was BlackRock’s IBIT, with a net inflow of $43 million.
Meanwhile, massive outflows from the rest of the ETF products overshadowed the minimal gains from Grayscale’s Bitcoin Mini Trust and BlackRock’s IBIT. Fidelity’s FBTC led the wave of outflows with an $81 million withdrawal. Meanwhile, Ark Invest’s ARKB, Grayscale’s GBTC, Bitwise’s BITB, and VanEck’s HODL contributed to the over $100 million outflow on Friday.
The massive ETF outflows contributed significantly to the recent BTC crash, introducing a fresh wave of bearish sentiment across the crypto industry. Other cryptocurrencies followed the decline, with Ethereum, the second-largest cryptocurrency by market capitalization, dropping below the $3,000 milestone.
Other altcoins followed in Bitcoin and Ethereum’s trajectory, leading to a massive decline in the total cryptocurrency market capitalization. TradingView’s data showed the crypto market cap declined 15% last week, falling from $2.442 trillion to $2.102 trillion at the time of writing.
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