Darius Baruo
Jun 04, 2026 10:44
Bitcoin ETFs face record $4.4 billion in outflows over 13 days, as BTC drops 21% to $62,610. Analysts split over demand slump drivers.
Spot Bitcoin ETFs have extended their longest-ever streak of outflows, shedding $4.4 billion over 13 consecutive trading days through June 1, 2026. The sell-off coincides with Bitcoin’s (BTC) price sliding 21% from $80,000 in mid-May to $62,610 as of June 4, according to CoinGecko.
BlackRock’s iShares Bitcoin Trust (IBIT) has been the epicenter of the redemptions, accounting for $3.3 billion—or 75% of the total outflows—during the streak, according to Farside Investors data. Fidelity’s Wise Origin Bitcoin Fund (FBTC) followed with $456.6 million in outflows, while Grayscale’s Bitcoin Trust ETF (GBTC) lost $303.6 million.
The 13-day streak surpasses February 2025’s eight-day outflow record, which saw $3.2 billion withdrawn. Analysts cite weakening institutional demand, long-term holder selling, and miner pressure as key drivers of the downturn. Over the past 30 days, U.S. Bitcoin ETFs have shed 51,726 BTC—nearly $5 billion—based on WalletPilot data.
Bitcoin Price Under Pressure
Bitcoin’s price has reflected the ETF sell-off, briefly dipping below $63,000 on June 1 before stabilizing at $62,610. The cryptocurrency is now down 6.83% in the last 24 hours, with a total market cap of $1.23 trillion.
“This is the fastest monthly drop in demand since the Terra/Luna collapse in May 2022,” said CryptoQuant head of research Julio Moreno. He noted a net decline of 501,000 BTC in overall demand over the past month, with many pointing to structural shifts in ownership as the market transitions from early adopters to institutional holders.
Institutional Dynamics Divide Analysts
Opinions diverge on the causes of the ETF outflows and Bitcoin’s price weakness. Bloomberg ETF analyst Eric Balchunas highlighted that long-term institutional players, such as ETFs and Michael Saylor’s MicroStrategy, have remained net accumulators. By contrast, some argue that derivatives market positioning and leverage-driven liquidations are amplifying volatility.
Ki Young Ju, founder of CryptoQuant, suggested the large-scale selling from miners and early Bitcoin holders is part of a broader supply transfer to U.S. institutions. While this could weaken near-term prices, Ju argued it may strengthen long-term demand by broadening Bitcoin’s investor base.
Broader Market Implications
Despite the outflows, Standard Chartered’s head of digital assets research, Geoffrey Kendrick, noted that Bitcoin ETF holdings have remained relatively stable since February, pointing to greater structural resilience than expected. However, he acknowledged that recent corporate selling has reinforced bearish sentiment.
Bitcoin ETFs had been a bright spot for institutional adoption throughout 2024 and early 2026, with consistent inflows supporting prices. But May 2026 marked a turning point, as U.S. Bitcoin ETFs experienced their largest monthly outflows of $2.43 billion, including $1.42 billion during the final week alone. BlackRock’s $527.84 million single-day redemption on May 28 was the second-largest in its history, underscoring the scale of the shift.
Market participants will now watch upcoming ETF flow data and Bitcoin’s technical levels closely. With BTC down 21% in just three weeks, a further break below key psychological levels like $60,000 could invite additional selling pressure. Conversely, signs of renewed inflows or stabilizing demand could signal a turning point.
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