Investors yanked a net $333 million from BlackRock’s iShares Bitcoin Trust ETF (IBIT) on Jan. 2, the most withdrawn from the record-breaking fund since its launch.
The fund also suffered a third consecutive day of outflows, its longest losing streak, according to data compiled by Bloomberg.
As the largest spot bitcoin fund with over $53 billion in assets and nearly $37 billion in inflows, IBIT proved a major hit with institutional investors after a January launch and helped push the largest digital asset to an all-time high of $108,315 in mid-December.
The tapering of flows to IBIT is another sign of bitcoin’s record-breaking run in 2024 taking a breather. The group of a dozen bitcoin exchange-traded funds in the U.S. have posted a net outflow of about $2 billion since Dec. 19, according to data compiled by Bloomberg.
Open interest — or outstanding contracts — for bitcoin futures hosted by Chicago-based CME Group, seen as a measure of U.S. institutional demand, also fell nearly 20% from its December peak.
“The outflows and decreased open interest is expected with institutions paring back risk and window dressing for year-end balance sheet adjustments,” said Paul Howard, senior director at crypto market maker Wincent.
BlackRock didn’t immediately respond to a request for comment from Bloomberg News.
