US-listed spot Bitcoin ETFs recorded significant outflows on Monday despite a strong rally in Bitcoin, which climbed above $74,000 for the first time in four weeks.
According to market data, total outflows reached $291 million, marking the largest single-day redemption since late March. The majority of withdrawals were driven by the Fidelity Wise Origin Bitcoin Fund, which alone accounted for $229 million in outflows.
Diverging Market Signals
The outflows came as Bitcoin gained nearly 5% during the session, briefly touching levels close to $75,000. Analysts say this divergence between price growth and ETF withdrawals could indicate cautious investor positioning, with some market participants locking in profits amid uncertainty.
Despite the broader outflows, BlackRock continued to attract capital, recording approximately $35 million in inflows and extending its positive streak to four consecutive trading days.
Similarly, the Morgan Stanley Bitcoin Trust ETF maintained steady inflows since its recent launch, accumulating around $68 million.
Year-to-Date Performance Turns Negative
With the latest withdrawals, US spot Bitcoin ETFs have now slipped into negative territory for the year, posting a cumulative outflow of approximately $160 million.
Altcoin ETFs Show Resilience
In contrast, altcoin-focused funds continued to attract modest inflows. Spot Ethereum ETFs recorded $9.4 million in inflows, extending their positive trend over three consecutive sessions.
Funds linked to XRP added $1.5 million, while Solana ETFs remained flat with no new inflows.
Market sentiment showed slight improvement, with the Crypto Fear & Greed Index rising above 20 for the first time in weeks. However, the index remains in “extreme fear” territory, highlighting lingering caution among investors.
Analysts note that while underlying market conditions appear to be stabilizing, sustained upside in Bitcoin will likely depend on fresh capital entering derivatives markets and a rise in overall trading activity.
Overall, the data reflects a mixed outlook for crypto markets, where rising prices are yet to fully restore investor confidence.
