The US-based Spot Bitcoin exchange-traded fund (ETF) recorded its lowest net inflows ever on March 14, with net inflows of just $132 million. This is the lowest level in eight trading days and has fallen 80% since March 13th.
Thursday’s decline was the second consecutive day of declines. Wednesday’s inflows reached $684 million, down 38.3% from March 12th. Tuesday’s single-day inflows were a record $1.05 billion.
Total inflows into ETFs amounted to $390 million as of March 14th, with an additional $257 million outflows from the Grayscale Bitcoin Trust ETF (GBTC), for net inflows of $100 million. The total amount was 32 million dollars. On the same day, the VanEck Bitcoin Trust ETF and Fidelity’s Wise Origin Bitcoin Fund recorded inflows of $13.8 million and $13.7 million, respectively. Despite significant outflows from GBTC, net inflows remained positive on Thursday.
BlackRock’s iShares Bitcoin Trust ETF had the largest inflow of $345 million. Cumulative net inflows into US Bitcoin spot ETFs remain significant, approaching the $12 billion level after 44 days of trading.
The change in investor sentiment comes amid widespread weakness in the crypto market, with BTC prices below $69,000.
Related: Bitcoin price hits new all-time high of $73.6 million as ETFs eat up supply
The impact of reduced ETF inflows was correlated with BTC price fluctuations. After a bullish move on Wednesday, March 13th, BTC hit a new all-time high of over $73,000 before reversing on Thursday.
On Friday, March 15th, the price fell to around $66,000 as millions of leveraged positions were liquidated. According to CoinGlass data, 193,431 traders liquidated in the past 24 hours, totaling $682.14 million.
Market experts suspect that current market volatility, regulatory uncertainty and macroeconomic factors are making investors cautious. The current decline is also due to next week’s Federal Open Market Committee meeting, which could shed some light on the Fed’s future interest rate plans.
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