The Bitcoin ETF hemorrhage has spread throughout crypto.
U.S. spot Bitcoin funds lost another $396.60 million on Wednesday, extending a record outflow streak to 13 straight sessions and a $4.37 billion flight since mid-May, while Ether, Solana and XRP products joined the buyback wave.
Hyperliquid’s HYPE spot ETF was the only major crypto fund still attracting net new money.
BlackRock’s IBIT, the largest Bitcoin ETF by net assets, absorbed the bulk of Wednesday’s outflows with $342.34 million in redemptions, according to SoSoValue data. Fidelity’s FBTC lost another $54.26 million.
The two funds fell 2.76% and 2.65% respectively, with bitcoin trading around $65,462, down from over $71,000 at the start of the week.
The total net assets of all spot bitcoin ETFs in the United States fell from $104.29 billion on May 15, the last session before the outflow streak began, to $82.83 billion on Wednesday.
That’s a drop of $21.46 billion in about three weeks, with buybacks and falling Bitcoin prices combining to do damage. Bitcoin ETF assets under management now represent 6.36% of Bitcoin’s circulating market capitalization, up from more than 7% at the May peak.
Elsewhere, Ether ETFs lost a total of $52.94 million that day. BlackRock’s ETHA accounted for almost all of that, at $51.58 million, and the fund fell 5.56% as ether traded below $1,900.
Solana funds lost $12.74 million on Wednesday, led by Bitwise’s BSOL with $11.56 million in outflows. XRP funds lost $5.34 million, with Bitwise’s flagship XRP ETF taking the hit.
Both categories have now joined bitcoin and ether in daily net outflows for several consecutive sessions, ending a period in which altcoin ETFs had attracted modest but steady retail interest while bitcoin funds bled.
Hyperliquid’s spot ETF complex was the only outlier. 21Shares’ THYP took in an additional $2.99 million, bringing the HYPE ETF’s cumulative net inflows to $139.51 million since launch on May 12 and total net assets to $192.01 million. The token gained 3.45% on the day to $73.39 as the rest of the crypto sold off.
Grayscale launched its own hyperliquid product, HYPG, on Wednesday, touting it as the cheapest spot HYPE vehicle in the U.S. and undercutting Bitwise’s BHYP and 21Shares’ THYP in terms of expense ratio. The launch comes at a time when all other major crypto ETF categories are in net redemption.
Citi told clients on Tuesday that bitcoin ETF spot flows explained about 45% of BTC’s weekly price movements, calling them the best indicator of investor adoption. The bank expects sentiment to remain subdued as long as ETF flows turn negative and the US Crypto Market Structure Bill stalls.
