Institutional funds continue to withdraw, with nearly $800 million in net outflows for the U.S. Bitcoin Spot ETF this week.

According to monitoring data from Farside Investors, during the week ending November 1, 2025, the U.S. Bitcoin Spot ETF market experienced significant capital outflows, with a total net outflow of $799 million, and all major funds showed a trend of capital outflow.
1. Main product capital outflow situation
This week's capital outflow has shown a widespread trend, with major Bitcoin Spot ETFs in the market not spared. Specifically, industry giant BlackRock's iShares Bitcoin Trust faced the largest capital outflow of the week, with a net outflow of $403.4 million. Fidelity's Fidelity Wise Origin Bitcoin Fund followed closely, with a net outflow of $155.9 million. Other products such as Bitwise Bitcoin ETF, ARK 21Shares Bitcoin ETF, and Grayscale Bitcoin Trust also recorded net outflows of $79 million, $76.5 million, and $68.1 million, respectively. This widespread outflow indicates that the capital withdrawal is not targeting a single product but reflects a shift in the overall risk appetite of the market.
2. Market Background and Related Dynamics
The large-scale outflow of funds occurred against the backdrop of multiple challenges facing the cryptocurrency market. On one hand, stablecoins have experienced a significant liquidity contraction. According to reports, in the last week of October, the global circulation of stablecoins plummeted by over $6 billion, which directly impacted the overall liquidity environment of the market. On the other hand, market sentiment indicators have also turned pessimistic, with the Fear and Greed Index plunging to 28, hitting a new low for the year, indicating a lack of confidence among investors. Furthermore, not only has the Bitcoin ETF faced pressure, but the Ethereum Spot ETF has also seen capital outflows during a similar period; for instance, on October 29, a net outflow of $81.4 million was recorded in a single day, suggesting that the capital withdrawal may involve a broader range of crypto asset classes.
3. Possible Driving Factors Analysis
The factors leading to a significant outflow of funds this week may be multifaceted. First, the recent volatility in the price of Bitcoin may have prompted some investors to take profits or implement risk controls. Some analyses indicate that such a high volatility environment can impact the decision-making of institutional investors. Secondly, there may have been changes in macroeconomic expectations. Although the Federal Reserve announced a 25 basis point rate cut on October 30, Fed Chairman Powell subsequently stated that "a rate cut in December is not a foregone conclusion," which somewhat weakened the market's expectations for continued loose monetary policy and may have affected the attractiveness of risk assets. Finally, from a historical pattern perspective, the fund flows for Bitcoin ETFs tend to be cyclical, and it is not uncommon for there to be a phase of outflow after a peak in fund inflows.
4. Historical Comparison and Future Outlook
Observing the nearly $800 million net outflow this week within a longer time frame, its scale is indeed remarkable. For example, on March 11 of this year, the Bitcoin Spot ETF market experienced a single-day net outflow of $367.47 million, which had attracted widespread attention in the market at that time. In comparison, this week's outflow size is larger. Nevertheless, some market participants still maintain a long-term optimistic view. Some analysts believe that the upward trend of Bitcoin in 2025 is structurally healthier, characterized by reduced leverage, clearer positions, and sustained real demand support. Therefore, the current massive capital outflow may be seen as a short-term adjustment phase in a long-term bull market.