Record $8.9B outflows hit Bitcoin ETFs during price correction, but $1.5B in fresh inflows suggest demand is returning.
Bitcoin spot ETFs have recorded their largest capital drawdown since launching in January 2024. Roughly $8.9 billion exited the funds during the selloff, leaving many institutional buyers underwater. Despite the pressure, fresh inflows are now returning to the market.
Bitcoin ETFs See Largest Capital Exit Since Launch
Bitcoin fell below $70,000, causing losses for many institutions that bought BTC through spot ETFs. According to analyst Darkfost, investors pulled about $8.9 billion from Bitcoin ETFs during the correction. That is the largest withdrawal since the ETFs launched in January 2024.
Most ETF investors bought Bitcoin at an average price of around $79,000. Since BTC is currently trading below that level, many of those investors are holding their positions at a loss.
📉 Bitcoin ETFs experienced largest Drawdown since launch
Holders of spot Bitcoin ETFs, which reflect the demand from their investors, are currently under pressure compared with the average realized price, estimated at around $79,000.
💡 This metric should be considered as an… pic.twitter.com/oWA0QHyDes
— Darkfost (@Darkfost_Coc) March 4, 2026
The $79,000 level is only an estimate of the average purchase price. It does not track every internal trade inside the ETFs, but it still gives a general idea of where most investors entered the market.
Bitcoin dropping below $70,000 caused the value of Bitcoin ETF holdings to fall sharply. BlackRock’s iShares Bitcoin Trust (IBIT) saw the largest impact. The fund reduced its holdings by more than 42,000 BTC, down from a peak of over 806,000 BTC.
Moreover, this drop represents one of the largest reductions in Bitcoin held by an ETF since the products launched. Because IBIT is the largest Bitcoin ETF, its inflows and outflows often influence broader institutional demand.
ETF Inflows Signal Recovery as BTC Climbs Back Above $71K
After the dip, signs of recovery appeared over the past five trading days. Around $1.5 billion has flowed back into spot Bitcoin ETFs during that period. BlackRock’s IBIT is leading the rebound.
The fund attracted $263 million in inflows on March 2 alone. Total inflows into IBIT have reached $882 million this week, putting it well ahead of other Bitcoin ETFs.
In addition, other ETFs are seeing fresh demand. Fidelity’s FBTC recorded $156 million in weekly inflows, while Bitwise’s BITB added $148 million. Even Grayscale’s GBTC, which previously saw steady outflows, reported $102 million in inflows during the week.
Capital is returning across the Bitcoin ETF market, suggesting sentiment may be improving. Almost all the 10 original spot BTC ETFs recorded net inflows during the week. This month began with the strongest signal of renewed demand.
According to Coinglass data, spot Bitcoin ETFs posted $458 million in net inflows, while none of the twelve listed funds reported outflows that day. Meanwhile, the total assets held by spot BTC ETFs now stand at about $93.11 billion.
Since their launch, cumulative net inflows across the products have reached roughly $55.8 billion. On the other hand, Bitcoin’s price has also started to rebound from recent lows. At press time, BTC traded at $71,346, rising 6.52% over the past 24 hours despite ongoing geopolitical tensions in global markets.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
"Seeking a Sword by Marking a Boat" style coin price predictions go viral: the practical logic and flaws of mystical prophecies
Author: Frank, PANews
Whenever the market enters a confusing phase of stagnation, someone attempts to predict the next trend using a "cutting the cord at the boat" style of historical retrospection method. In such circumstances, people often see from these theories and charts that history is repeating itself, and seem to automatically overlap and verify future market movements with a certain period in the past.
This coincidence appears to have a magical effect and is often verified. Some bloggers claim that the accuracy rate of this type of prediction can reach 75%~80%.
Does this "cutting the cord at the boat" style price prediction that repeatedly goes viral on social media actually help the market identify phases, or is it packaging noise as prophecy?
From "Tick Fractals" to "History Rhymes"
The peak operation regarding the prediction of a market top in October 2025 comes from an analyst named CryptoBullet, who created a method called "tick
PANews34m ago
Bitcoin Early Warning of Stock Market Risk? Global Stock Market Turbulence Intensifies After BTC Drops to $60,000
Recently, analysts have pointed out that Bitcoin's price movements often lead traditional risk assets, reflecting the weakness in global stock markets. After experiencing volatility, Bitcoin is currently stabilizing around $70,000, with market sentiment being affected by geopolitical tensions and rising oil prices. Historical data shows that Bitcoin often exhibits signs of peaking before stock market corrections, and investors are beginning to regard it as an important indicator for monitoring risk asset sentiment.
GateNews39m ago
Analyst: Bitcoin Has Transitioned from Distribution Phase to Accumulation Phase, Selling Pressure Drops to One-Sixth of Cycle Average
CryptoQuant analysts indicate that the market is currently in a neutral accumulation phase, with selling pressure dropping to historic lows, but may face long-term consolidation risks, requiring attention to the lack of price catalysts.
GateNews40m ago
Liquidity Alert Before FOMC Meeting: Private Credit Funds Restrict Redemptions, Bitcoin and Ethereum May Face Selling Pressure
As the Federal Reserve is about to hold an FOMC meeting, liquidity in the U.S. private credit market is tight, with several funds restricting investor redemptions, potentially triggering a chain reaction and causing capital to flow out to more liquid assets such as Bitcoin and Ethereum. Market risks are increasing, and it is important to monitor the Fed's policy moves and shifts in capital flows.
GateNews46m ago
Bitcoin Approaches $72,000: Supply Squeeze and Regulatory Tailwinds Create Bullish Momentum, BTC Catalysts Revealed
Bitcoin price has recently approached $72,000, driven by improved regulatory signals, reduced exchange bitcoin reserves, and institutional capital inflows. The U.S. SEC and CFTC will launch a cryptocurrency regulatory coordination program, which is expected to reduce regulatory uncertainty in the industry. Additionally, bitcoin reserves on centralized platforms have fallen to three-year lows, with significant market supply tightening phenomena, driving price increases. If it breaks through $72,000, it could further strengthen market momentum.
GateNews47m ago
