BlackRock’s IBIT sees biggest daily outflow as spot Bitcoin ETFs bleed

The US Bitcoin Exchange Traded Fund (ETF) market is bleeding heavily as investors withdraw their funds amid a lack of momentum in BTC prices. This series of withdrawals has resulted in the BlackRock iShares Bitcoin Trust (IBIT) posting its biggest daily outflow since its inception nearly a year ago.

Data from CoinGlass’ Bitcoin ETF Overview shows that investors withdrew about $332.6 million from IBIT on January 2nd. The 11 spot Bitcoin ETFs collectively recorded outflows totaling $247.8 million as some funds saw inflows of just over $106 million.

The IBIT records the largest daily outflow

In addition to IBIT, Grayscale’s GBTC recorded $23.10 million in outflows, while funds issued by asset managers Fidelity, Ark Invest/21Shares, Bitwise and VanEck posted moderate positive inflows.

BlackRock’s Bitcoin spot product, the largest and best-performing Bitcoin ETF, has underperformed in recent weeks. The fund’s previous record net outflow was on Christmas Eve, when investors withdrew a total of $188.7 million.

Since December 19, the IBIT has witnessed only three days of inflows, with more outflows and one day of no flows. Conversely, the fund racked up billions in capital injections from mid-November to mid-December as BTC surged above $109,000 following the emergence of Donald Trump as the new US president.

It is still the largest Bitcoin ETF

Despite IBIT’s recent underperformance, the fund remains the top Bitcoin ETF, having passed several milestones in recent months. IBIT has assets under management (AUM) worth more than $51 billion and net inflows in excess of $36.9 billion.

In early November, barely ten months after its launch, IBIT surpassed $33 billion in AUM, surpassing BlackRock’s iShares Gold ETF (IAU), which has been around for almost 20 years. Less than six weeks later, IBIT nearly doubled IAU’s AUM, reaching $58.57 billion in assets. CryptoPotato reported that IBIT took less than twelve months to crush and nearly double a milestone that took IAU 20 years to achieve.

Additionally, IBIT’s unmatched energy and pace of growth made it the fastest ETF in history to reach $50 billion in assets under management. Compared to the previous record holder’s 1,329 days, IBIT took just 228 days to surpass the milestone.

Meanwhile, IBIT’s largest daily inflow is $1.12 billion, much higher than the fund’s largest daily outflow.

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