Bitcoin ETFs See $635M Outflow as Price Struggles Below Key Level

U.S. spot Bitcoin exchange traded funds recorded a sharp wave of withdrawals as investors pulled around $635 million in a single day according to SoSovalue data, marking the largest daily outflow since late January.

Over the past five trading days, total withdrawals have reached about $1.26 billion, reducing cumulative inflows since launch. The selling pressure comes after strong inflows earlier in March and April, when ETFs were seen as one of the main drivers behind Bitcoin’s rise above $80,000.

Despite long term inflows still remaining positive overall, the recent reversal signals a short-term shift in investor sentiment.

Bitcoin Price Weakens After Failing to Hold Key Resistance

Bitcoin’s rally has stalled near its 200-day moving average, a widely watched technical level around $82,000. After touching this zone, Bitcoin slipped back toward $79,400, falling more than 2.4% in the past 24 hours.

Market analysts say renewed inflation concerns in the United States are weighing on risk assets, even as broader stock markets continue to hit new highs.

The recent price action suggests that buyers lost momentum at a critical resistance point, with traders now watching whether Bitcoin can stabilize or extend its decline.

ETF Flows and Bitcoin Price Link Becoming Less Predictable

While ETF inflows were previously seen as a strong driver of Bitcoin’s price, recent data shows the relationship is weakening.

A correlation study indicates that the link between daily Bitcoin price changes and ETF inflows has dropped significantly, suggesting that short-term price moves are now influenced by a broader mix of factors rather than ETF demand alone.

Even so, analysts warn that large daily redemptions like the latest $635 million outflow still matter, especially when combined with macro pressure and technical resistance levels.