Bitcoin ETFs record $1.1B outflows amid trade uncertainty

U.S. spot Bitcoin (CRYPTO:BTC) ETFs experienced significant outflows, with over $1.1 billion withdrawn in the two weeks leading up to February 21.

According to Sosovalue data, this sell-off marks the largest two-week period of withdrawals since these ETFs began trading.

The outflows are attributed to investor concerns about ongoing trade tensions between the U.S. and China, as well as uncertainties surrounding monetary policy.

The decline reversed positive flows recorded earlier in the month.

On February 20, the largest single-day outflow of $364.8 million was recorded.

Grayscale's GBTC saw $60.08 million exit the fund, contributing to its ongoing outflow since converting from a trust structure.

Bitwise’s BITB and Fidelity’s FBTC also experienced outflows of $16.58 million and $12.47 million, respectively.

BlackRock’s IBIT, however, saw inflows of $21.64 million, while VanEck’s HODL recorded a gain of $4.71 million.

Marcin Kazmierczak, co-founder of RedStone (CRYPTO:REDSTONE), stated that ETF flows are a "great indicator" of Bitcoin sentiment among the world's largest asset management firms.

"We’re looking at a monthly timeframe, which doesn’t provide the full picture," Kazmierczak also noted .

He added that ETFs are generally considered long-term investment vehicles, so analysing flows over a six-month or yearly period gives a more meaningful perspective.

Despite the negative monthly trend, Bitcoin ETFs recorded net inflows on February 4, 5, 7, and 14.

According to KuCoin (CRYPTO:KCS), since February 6, Bitcoin ETFs have recorded $1.1 billion in net outflows, making February 2025 the worst month for withdrawals.

At the time of reporting, the Bitcoin (BTC) price was $91,651.41.