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BlackRock Redemptions Reverse Bitcoin and Ethereum ETF Inflow Streak

The large withdrawals show concentrated exposure in one fund can quickly undo a mid‑July run of inflows and signal that institutional demand for crypto remains fragile.

Overview

  • U.S. spot Bitcoin and Ethereum ETFs posted more than $310 million in combined net outflows in a single session on July 24, with Bitcoin funds losing about $240 million and Ethereum funds about $70.6 million.
  • BlackRock’s iShares Bitcoin Trust (IBIT) drove the move, accounting for roughly $202–$212 million of the Bitcoin withdrawals on the large outflow days.
  • IBIT redemptions reflect authorized‑participant client creation and redemption mechanics rather than BlackRock itself selling the fund’s underlying holdings, a structural detail that concentrates the market impact of a few large clients.
  • The redemptions partially unwound a mid‑July seven‑day inflow streak that had brought roughly $980–$1,000 million into Bitcoin ETFs and left the multi‑day window still net positive but noticeably weaker.
  • Rising U.S. Treasury yields, tech equity selling and geopolitical risk weighed on prices and could keep ETF flows volatile, and the moves sit against a broader backdrop of about $5.4 billion in Bitcoin ETF outflows in the first half of 2026, which means any lasting recovery will require steadier, more diversified inflows.