Bitcoin Spot ETFs continue to experience significant outflows as bearish sentiment dominates the market. According to data from Farside Investors, the products saw a total net outflow of $174 million on June 24, marking the seventh consecutive day of outflows. Grayscale ETF GBTC contributed to this trend with a net outflow of $90.4295 million in a single day, bringing the total net asset value of the Bitcoin spot ETF to $51.53 billion.
Spot Bitcoin ETFs have witnessed the largest outflows over a two-week period since the approval of U.S. spot Bitcoin ETFs in January, with investors withdrawing a net total of $1.1 billion from these funds during this timeframe.
In addition, digital asset investment products as a whole experienced a second consecutive week of outflows, totaling $584 million, according to a report from CoinShares. The pessimism among investors regarding potential interest rate cuts by the Federal Reserve is believed to be a contributing factor to this trend.
The most substantial outflows were seen in the United States, with $475 million being withdrawn, followed by Canada with significant outflows amounting to $109 million. Germany and Hong Kong also observed outflows of $24 million and $19 million, respectively. However, Switzerland and Brazil stood out with inflows of $39 million and $48.5 million, respectively.
While Bitcoin saw the most substantial outflows of $630 million, investors did not increase their short positions, as short Bitcoin experienced outflows of $1.2 million. Ethereum also faced negative sentiment with outflows of $58 million.
Amidst the price weakness experienced by several altcoins, inflows were observed for some, including Solana, Litecoin, and Polygon, with inflows of $2.7 million, $1.3 million, and $1 million, respectively. Multi-asset products saw inflows of $98 million, indicating that some investors viewed the weakness in the altcoin market as a buying opportunity.
June has been a challenging month for Bitcoin, as its price briefly dropped below the $60,000 level after showing potential to surpass the previous all-time high of over $73,000 earlier in the month. Additionally, the distribution of Bitcoin owed to former customers of the defunct crypto exchange Mt. Gox is looming, potentially involving up to 140,000 BTC entering the market.
Mt. Gox, which filed for bankruptcy over a decade ago following multiple hacking incidents, announced it would initiate the long-awaited process of returning assets to its customers in July. The exact amount of Bitcoin to be distributed remains uncertain, with estimates ranging from 65,000 to 140,000 BTC, potentially valued at up to $9 billion. There have been concerns regarding the impact of this influx of BTC on prices, although some argue that the potential selling pressure may be overstated, given that creditors have had years to sell their claims if they required immediate funds.