Spot Bitcoin ETFs Continue to See Massive Outflows Post FOMC Meeting
U.S. listed spot Bitcoin exchange-traded funds (ETFs) have experienced significant outflows, with a total net outflow of $726 million since the Federal Open Market Committee (FOMC) meeting.
Spot Bitcoin ETFs have seen $146 million on June 17 alone, according to Sosovalue data.
On June 17, the total net outflow of Bitcoin spot ETFs was $146 million, with Fidelity FBTC outflowing $92 million and ARKB outflowing $50 million. There have been net outflows in 5 of the past six days. https://t.co/npjWVH3bMi
— Wu Blockchain (@WuBlockchain) June 18, 2024
Leading this trend were Fidelity’s Bitcoin ETF (FBTC), often seen as a major player in the ETF market, experienced $92 million in outflows. ARK Invest’s ARK Next Generation Internet ETF (ARKB), saw $50 million in outflows. This marks a continuation of a broader trend, with net outflows recorded in te last five of the past six days.
This recent wave of outflows comes in the wake of the latest FOMC meeting, signaling investor reactions to broader economic signals and monetary policy adjustments.
FOMC meeting on June 11 outcome saw the federal funds rate unchanged at the range of 5.25% to 5.50%. This decision aligns with the Fed’s ongoing strategy to combat inflation, which, while showing signs of improvement, remains above the target level of 2%. Latest spot bitcoin etf outflows suggest a growing caution among investors, potentially spurred by the central bank’s stance on interest rates.
The outflows could also indicate that institutional investors, who largely favor BlackRock and Fidelity’s ETF products, are re-evaluating their risk exposure in the current market climate.
The substantial outflows from spot Bitcoin ETFs could be attributed to a combination of factors such as
