As global demand for bitcoin investment products weakens and redemptions accelerate, the annual net inflow figure has once again slipped into negative territory. Norwegian digital asset research and brokerage firm K33 reports that this indicator entered the red for the first time since November 4, 2023. Meanwhile, the price of bitcoin has fallen 6% for the week, trading below $62,000.
Annual flow turns negative again
K33’s Head of Research, Vetle Lunde, noted that as of June 18, the annualized hypothetical net inflow across bitcoin-focused investment vehicles has dropped to negative 1,176 BTC. This calculation covers both exchange-traded products and futures-based funds tied to bitcoin.
The firm pointed out that the last time this figure was in negative territory was back on November 4, 2023. The recent decline has been driven by persistent outflows from global bitcoin ETPs. ETPs, or exchange-traded products, serve as a broad investment framework that track the performance of underlying assets.
Mini glossary: ETP stands for exchange-traded product, representing a broad class of securities traded on exchanges. While ETFs are a subset, ETPs can include different products tracking commodities, crypto assets, or indices.
Lunde compared the current situation to the previous market downturn. The last time the annual inflow turned negative was October 21, 2022, after which bitcoin established a bottom within several weeks. However, he highlighted significant structural differences between the current phase and that period.
Vetle Lunde emphasized structural differences between the two eras, noting that inflows in 2020 and 2021 were dominated by Grayscale’s closed-ended GBTC product.
ETP holdings fall short of record high
K33 data shows that global bitcoin ETPs now hold a total of 1,466,029 BTC. This is 127,774 BTC below their previous all-time peak, amounting to an 8% decline in total holdings. The company stated that this marks the largest such drop they have recorded to date.
| Indicator | Value |
|---|---|
| Annual net inflow | Minus 1,176 BTC |
| Global bitcoin ETP holdings | 1,466,029 BTC |
| Difference from peak | 127,774 BTC |
| Decline rate | 8% |
Lunde said these figures indicate a broad-based reduction among ETP investors. However, the pace of outflows has eased in the past two weeks, with daily redemptions falling to an average of 625 BTC, compared to 4,462 BTC per day between May 11 and June 5.
Selling pressure eases, but balance remains fragile
According to K33, the outflow slowdown after the heavy selling in May and June has helped stabilize bitcoin. Nevertheless, the overall flow picture remains negative. Lunde observed that ETPs have retained 92% of their peak asset levels since October 2025, but the bitcoin price in US dollars has halved during the same period.
During this timeframe, bitcoin’s performance has lagged behind major tech stocks, falling 60% against the QQQ index. Appetite for trading in the spot bitcoin market has also waned, with average daily volume dropping to $1.99 billion—its third lowest level in the past year.
Lunde remarked that both committed buyers and sellers are limited in number, leaving the balance precarious and suggesting volatility could rise sharply if conviction in either direction takes hold.
K33 further pointed to pressures emerging in Strategy’s preferred share structure. STRC fell below $90 last week, while its annual dividend obligation has reached approximately $1.7 billion.
