Bitcoin ETFs lose $1.16B as Bitwise calls selling ‘short-term’

Spot Bitcoin exchange-traded funds recorded substantial net withdrawals totaling $1.16 billion as broader macroeconomic pressures and weaker market sentiment gripped the cryptocurrency sector. Industry analysts, including representatives from Bitwise, have characterized these aggressive outflows as a transient short-term phenomenon rather than a structural exit by institutional allocators. Institutional holders have largely maintained their strategic underlying exposure despite the pronounced price volatility and downward pressure on digital assets. The massive capital flight reflects temporary risk aversion among traditional finance participants navigating an uncertain monetary policy landscape. Market participants are closely monitoring upcoming macroeconomic data releases to gauge whether institutional inflows will resume in the near term. Such large-scale ETF movements continue to exert direct influence over spot price dynamics and overall market liquidity.