Spot Bitcoin ETF Outflows Reach Record Levels as Analysts See Possible Market Bottom

Spot Bitcoin ETFs recorded their longest streak of investor withdrawals, marking 10 straight trading days of net outflows between May 15 and May 29. During this period, investors pulled nearly $3 billion from Bitcoin focused funds, showing a sharp decline in market confidence.

Daily outflows ranged between $70 million and $733 million, with the largest single day withdrawal reaching more than $733 million on Wednesday. At the same time, total assets managed by spot Bitcoin ETFs dropped from $104.29 billion to $94.17 billion, wiping out nearly $10 billion in value within two weeks.

Bitcoin ETF Selloff Raises Questions About Market Sentiment

Bitcoin ETFs have become an important measure of institutional demand since launching in the United States. Large inflows often suggest growing investor confidence, while strong withdrawals usually point to fear and reduced risk appetite.

However, some market analysts believe heavy outflows may signal the opposite. According to crypto analytics platform Santiment Intelligence, extreme ETF withdrawals have historically acted as a contrarian indicator, meaning markets often recover when investor fear peaks.

Why Analysts Believe a Bitcoin Bottom Could Be Near

Santiment noted that major ETF exits can reflect peak fear and frustration among investors. The platform pointed to a massive single-day outflow of nearly $904 million in November 2025, which happened close to a market low before Bitcoin prices later recovered.

Analysts argue that current withdrawal levels may indicate that the market is approaching a local bottom, potentially creating opportunities for patient investors waiting for improved conditions.

Spot Ether ETFs Continue Losing Investor Interest

Spot Ether ETFs also faced continued pressure, extending their outflow streak to 14 consecutive trading sessions from May 11 through May 29.

Daily withdrawals ranged from $5.65 million to $130.62 million, while total assets declined from $13.85 billion to $11.27 billion. This represents a loss of roughly $2.6 billion in ETF holdings during the period.

While Bitcoin and Ether ETFs struggled, spot Hyperliquid ETFs moved in the opposite direction. Since launching on May 12, the funds have reported inflows every trading session.

By May 28, cumulative inflows had crossed $100 million, while total net assets surged from just $1.87 million at launch to more than $122 million in a little over two weeks.