- Institutional investors have withdrawn nearly $4.5 billion from U.S. spot bitcoin ETFs since early 2026 amid shifting macro conditions.
- Major funds from BlackRock and Fidelity saw the largest outflows, while gold-focused ETFs attracted $16 billion in recent inflows.
U.S. spot bitcoin ETFs are navigating their most challenging stretch of institutional selling this year, as investors respond to shifting macroeconomic conditions. Persistent outflows have emerged across major products, reflecting a broader shift in risk appetite and a move toward traditional safe-haven assets. Despite the pressure, analysts argue that the longer-term picture for the funds remains more resilient than the recent data might suggest.
Mounting Outflows and a Difficult Start to 2026
Since the beginning of 2026, U.S. spot bitcoin ETFs have collectively lost nearly $4.5 billion, according to figures from SosoValue. Those redemptions have been only partially offset by $1.8 billion of net inflows, concentrated in the first and third weeks of the year. The result is a clear net withdrawal of institutional capital over a relatively short period.
The most intense phase of selling has unfolded over the past five weeks, starting in late January. During this window alone, the ETF complex saw roughly $4 billion leave, a move closely associated with recent weakness in bitcoin’s price. That five-week run has marked the most prolonged bout of institutional friction these products have experienced this year, disrupting the strong demand patterns that characterized their early life.
CryptoQuant analyst J.A. Maartun estimated total outflows from bitcoin ETFs at $8.3 billion, down from their all-time high in October. Even with that moderation, he described the current year as the weakest since the vehicles were introduced, underlining the shift away from the aggressive inflow phases seen previously. The data suggests that institutions, which had been central to the growth of these funds, are now reassessing their exposure in light of wider market conditions.
Institutional Rotation and the Appeal of Safe Havens
The recent moves in bitcoin ETFs are unfolding against a backdrop of broader portfolio rebalancing on Wall Street. Over the last year, U.S. macroeconomic policy has encouraged a more cautious stance among allocators, who are pulling risk capital from some corners of the market. Digital assets have been among the areas most affected, with investors gravitating instead toward assets perceived as more defensive.
One of the clearest beneficiaries of this shift has been the precious metals space. Gold and gold-focused ETFs have attracted $16 billion in inflows over the past three months, far outpacing the trends seen in bitcoin-related products. Silver has also drawn renewed interest as investors look to diversify away from assets that have shown higher volatility in recent months.
This movement signals that, for now, many institutions prefer exposure to established safe havens rather than newer digital alternatives. The steady stream of withdrawals from bitcoin ETFs underscores that recalibration of risk, replacing the strong momentum-driven buying that had defined the asset class during its initial build-out. While the macro backdrop is not necessarily hostile to digital assets, it appears to be tilting demand toward instruments with longer track records in periods of uncertainty.
Heavyweight bitcoin ETFs Under Pressure
The recent retrenchment has been most visible among the largest bitcoin ETFs, which had previously been the primary engines of inflows. BlackRock’s iShares Bitcoin Trust (IBIT) has seen more than $2.1 billion withdrawn over the last five weeks, making it one of the most affected products in the segment. Fidelity’s Wise Origin Bitcoin Fund (FBTC) has also come under pressure, with over $954 million exiting during the same period.
These figures illustrate how quickly sentiment can reverse even for funds backed by some of the world’s most prominent asset managers. In earlier phases, both IBIT and FBTC benefited from strong demand as institutions sought regulated vehicles to gain exposure to bitcoin. The current environment, however, highlights that brand strength and early momentum do not fully insulate these products from macro-driven shifts in risk appetite.
Despite the notable redemptions, observers emphasize that the structural position of bitcoin ETFs remains intact. The funds continue to operate at scale, and their ability to handle both inflow and outflow cycles is seen as an important test of market maturity. The recent period of selling, although substantial, is being interpreted by some analysts as part of a broader normalization rather than a structural breakdown.
Bloomberg senior ETF analyst Eric Balchunas has drawn attention to this wider perspective. He argues that, taken over their full lifespan, the performance of bitcoin ETFs still looks strong relative to early expectations. Initial projections had anticipated first-year inflows in the range of $5 billion to $15 billion. Against that backdrop, even with current outflows, the asset class has exceeded what many in the market had originally forecast.
Outlook for bitcoin ETFs Amid Macro Crosswinds
The current environment places bitcoin ETFs at the intersection of two conflicting forces: near-term macro uncertainty pushing investors toward safety, and a longer-term trend of growing institutional engagement with digital assets. The outflows over the last six weeks indicate that the former is dominant for now, especially as investors reassess positions after recent price struggles in bitcoin itself.
Yet the continued presence of large, liquid funds, along with the still-elevated cumulative inflow figures compared with initial forecasts, suggests that institutional infrastructure around bitcoin is not retreating. Instead, the market appears to be moving from an expansion phase driven by momentum to a more cyclical pattern of allocations, sensitive to broader economic signals.
If macro conditions stabilize or risk appetite returns, the existing ETF framework provides a ready channel for renewed inflows. Conversely, a prolonged period of uncertainty could see the rotation into gold and other safe havens persist, extending the current pattern of redemptions. For now, the data points to a cautious stance from many institutions, but not a wholesale abandonment of the asset class.
Conclusion
Bitcoin ETFs in the United States are undergoing a sustained period of outflows as institutional investors respond to changing macroeconomic signals and pivot toward traditional safe havens such as gold. Large products from BlackRock and Fidelity have borne the brunt of recent withdrawals, contributing to nearly $4.5 billion in redemptions since early 2026 and around $4 billion over the last five weeks alone. Even so, analysts note that the overall trajectory of these funds remains stronger than first-year expectations had implied, suggesting that the current setback reflects a cyclical adjustment rather than a structural failure in the market for bitcoin-based exchange-traded products.
Disclaimer
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