BlackRock Withdrawals Push U.S. Bitcoin ETFs to 11th Outflow Day

U.S. spot bitcoin exchange-traded funds posted an 11th consecutive day of net outflows on Monday, recording $483.8 million in withdrawals, according to SoSoValue data. BlackRock’s IBIT accounted for $440.3 million of the day's redemptions. Morgan Stanley’s MSBT was the only fund to see net inflows, taking in $6.14 million. Over the past 11 trading days the funds have lost a combined $3.45 billion. May’s monthly net outflow totaled $2.43 billion, the largest monthly withdrawal since November 2025.

According to Andri Fauzan Adziima, research lead at the Bitrue Research Institute, the May outflows were driven by rising inflation, higher Treasury yields and fading hopes for interest-rate cuts. “May's $2.43 billion ETF outflows were caused by rising inflation, higher Treasury yields, and fading hopes for interest rate cuts,” Adziima wrote. He noted that some institutional investors have shifted allocations to other assets, including AI-related stocks.

Bitcoin's price fell late Monday to a low near $70,200 before stabilizing around $70,750, a drop of about 3.6% over 24 hours. Analysts pointed to rising geopolitical tensions between the United States and Iran and corporate disclosures as factors affecting demand for risk assets. Adziima described MicroStrategy's announcement about potential bitcoin sales as “poorly timed” and characterized it as having “created significant negative sentiment.”

Spot bitcoin ETFs hold physical bitcoin for investors, and their flows often respond quickly to inflation readings, Treasury yields and expectations for Federal Reserve policy. Monday's broad withdrawals followed a month in which institutions reduced their ETF exposure to bitcoin.