Capital is rapidly exiting US-based spot Bitcoin (BTC) ETFs, with over $1.55 billion in outflows since May 14. The latest figures reveal that major institutional investors are reducing exposure to cryptocurrencies, as selling continues in large, high-profile funds and institutional appetite for crypto wanes.
Institutional demand weakens for BTC ETFs
Spot Bitcoin ETFs have typically served as the primary gateway for large institutional funds seeking crypto exposure without directly holding digital assets. However, this recent drop in demand is widely seen as an indicator of mounting caution among financial institutions facing macroeconomic uncertainty.
On Friday, the market witnessed its sixth consecutive day of net capital exit, totaling $105.2 million. Cumulative inflows to spot Bitcoin ETFs have reached just $536 million for the year, highlighting a marked slowdown compared to previous years.
Heavy outflows hit BlackRock and Fidelity funds
One of the biggest moves was seen in BlackRock’s iShares Bitcoin Trust, which led the market with $68.9 million in outflows over the weekend. Fidelity’s Wise Origin Bitcoin Fund followed, recording a withdrawal of $36.3 million from investors.
Analysts highlight that large outflows from major funds like BlackRock and Fidelity have significantly dampened institutional risk appetite in the crypto sector.
According to the latest data from CryptoAppsy, the $68.9 million net outflow from BlackRock’s IBIT fund in the most recent session has limited its total 2026 inflows to $2.7 billion. This figure remains sharply lower than the $25 billion influx realized by the fund in 2025.
Movement in other funds and altcoin products
Notably, Friday’s trading session saw little significant capital movement in US Bitcoin ETFs aside from BlackRock and Fidelity. Still, a broader trend of outflows across the entire spot BTC ETF market has persisted since May 14.
Prominent market makers such as Jane Street and Goldman Sachs also slashed their positions during Q1. Jane Street reduced Bitcoin ETF holdings in its portfolio by about 70%, while Goldman Sachs cut its share by roughly 10%.
Mini glossary: Jane Street and Goldman Sachs are major market makers known for providing liquidity and executing high-volume trades in financial markets. Changes in ETF holdings by such firms can spark volatility and shift market sentiment.
| Fund Name | Latest Net Outflow (USD) | 2026 Total Inflow (USD) | 2025 Total Inflow (USD) |
|---|---|---|---|
| BlackRock IBIT | 68,900,000 | 2,700,000,000 | 25,000,000,000 |
| Fidelity FBTC | 36,300,000 | No data | No data |
Ethereum-focused spot ETFs have also seen notable withdrawals since the start of the year, while newly launched altcoin-based ETF products continue to attract only modest interest. Market observers note that this shift signals a more cautious and selective approach from institutional investors compared to the initial enthusiasm for Bitcoin ETFs at the start of 2024.
