Spot Bitcoin exchange-traded funds recorded significant outflows during Christmas week, as investors withdrew a combined $782 million from the products, according to data from SoSoValue.
The largest single-day pullback occurred on Friday, when spot Bitcoin ETFs saw net outflows of $276 million. BlackRock’s IBIT led the declines, with nearly $193 million exiting the fund, followed by Fidelity’s FBTC, which lost around $74 million. Grayscale’s GBTC also continued to experience smaller but steady redemptions.
As a result, total net assets across U.S.-listed spot Bitcoin ETFs fell to about $113.5 billion by Friday, down from levels above $120 billion earlier in December. This decline came even as Bitcoin prices remained relatively stable near the $87,000 mark.
Friday also marked the sixth straight day of net outflows for spot Bitcoin ETFs, representing the longest withdrawal streak since early autumn. Over this six-day period, cumulative outflows surpassed $1.1 billion, highlighting sustained short-term pressure on the products.
Holiday positioning seen as temporary factor
Vincent Liu, chief investment officer at Kronos Research, said ETF outflows during the Christmas period are typical and largely driven by holiday positioning and thinner liquidity, rather than weakening underlying demand.
He noted that institutional flows usually return and stabilise once trading desks resume activity in early January. Liu added that expectations of Federal Reserve rate cuts in 2026 could further support demand for Bitcoin ETFs, with interest rate markets already pricing in 75 to 100 basis points of easing.
Institutional sentiment shows signs of cooling
In a separate report, Glassnode said Bitcoin and Ether ETFs have entered a more sustained phase of outflows, suggesting a pullback in institutional exposure to crypto assets. Since early November, the 30-day moving average of net flows into U.S. spot Bitcoin and Ether ETFs has remained negative, reflecting softer participation amid tightening liquidity conditions.
Because ETFs are widely viewed as a gauge of institutional sentiment, the extended outflow trend points to a cautious stance among large investors following a year in which institutional demand played a major role in driving crypto markets.
