Why Did Bitcoin ETFs Post Another Negative Week?
U.S. spot bitcoin ETFs shed about $527 million over the holiday-shortened week ending Thursday, July 2, extending their weekly outflow streak to 8 consecutive weeks and setting the longest negative run in the category’s history. The drawdown came across only 4 trading sessions, with U.S. markets closed Friday for the Independence Day holiday. Before the current streak began in mid-May, spot bitcoin ETFs had never recorded more than 5 straight weeks of net outflows. The latest weekly loss was still far smaller than the prior week’s $1.79 billion drain, showing that selling pressure eased even as the broader trend remained negative. The funds also finished the week on a stronger note, taking in $221.72 million on Thursday, their largest single-day inflow since May 5. That Thursday rebound ended a 10-session outflow streak that had pulled about $2.71 billion from the products. Fidelity’s FBTC led the inflows with $165.96 million, followed by ARK and 21Shares’ ARKB with $91.84 million.Why Is BlackRock’s IBIT Still Under Pressure?
BlackRock’s IBIT remained the main weak spot in the group. The fund was the only spot bitcoin ETF to post an outflow on Thursday, losing $40.43 million and extending its own redemption streak to 11 consecutive sessions. That run has cost IBIT roughly $2.2 billion. The fund now holds $44.91 billion in net assets against $59.99 billion in cumulative inflows since launch, showing how bitcoin’s price decline has widened the gap between money invested and current asset value. IBIT remains the largest spot bitcoin ETF by net assets, but the sustained outflow streak matters because the fund has been the anchor product for institutional and adviser-driven bitcoin exposure. Persistent redemptions from the market leader suggest that the outflow cycle is not limited to smaller or weaker issuers. Bitcoin traded near $63,150 on Saturday after falling below $58,000 earlier in the week, its lowest level in 21 months. The rebound followed weaker-than-expected U.S. jobs data, which traders interpreted as reducing the odds of another Federal Reserve rate increase. Even so, rising exchange deposits point to the risk of more volatility ahead.Investor Takeaway
The bitcoin ETF market is showing early signs of stabilization, but not a clear reversal. A strong Thursday inflow helped break the daily outflow streak, while IBIT’s continued redemptions show that pressure remains concentrated in the largest product.
Are Ether ETFs Facing The Same Demand Problem?
Spot ether ETFs lost a net $13.67 million over the week, marking their 8th consecutive weekly outflow. That ties the category’s record negative streak set between late February and mid-April 2025. The weekly loss was modest, and the funds nearly broke even after posting back-to-back inflows on Wednesday and Thursday. The group took in $14.89 million on Wednesday and $29.08 million on Thursday, its first 2-day inflow run since mid-June. BlackRock’s ETHA led Thursday’s ether ETF inflows with $29.74 million. Ether traded near $1,780 on Saturday, while the funds held $9.02 billion in net assets, equal to about 4.4% of the token’s market value. Year to date, spot ether ETFs have lost a net $1.44 billion. That figure shows that the category continues to struggle for sustained demand even when daily flows briefly improve. The market has not yet seen the same depth of institutional support that bitcoin ETFs attracted after launch.What Does Hyperliquid’s Slowdown Show?
U.S.-based Hyperliquid ETFs remained positive for the week, but inflows slowed sharply. The products took in $4.32 million, their smallest weekly inflow since launching in mid-May. The slowdown followed the group’s strongest week on record, when it attracted $111.36 million in net inflows in the week ending June 26. Bitwise’s BHYP drove that surge, helping the Hyperliquid ETF group gather roughly $161 million across June. The 3 Hyperliquid products now hold $336.41 million in combined net assets against $298.24 million in cumulative inflows. Bitwise’s BHYP is the largest with $135.49 million, followed by Grayscale’s HYPG with $128.58 million and 21Shares’ THYP with $72.34 million.Investor Takeaway
Hyperliquid ETFs are still attracting capital, but the drop from a record $111 million week to $4.3 million shows how quickly demand can cool in newer crypto ETF categories. Bitcoin and ether flows remain the stronger read on broad institutional risk appetite.
