Bitcoin ETFs Experience Net Outflows Amid Economic Concerns

According to Cointelegraph, spot Bitcoin (BTC) exchange-traded funds (ETFs) witnessed net outflows totaling $872 million between April 3 and April 10, raising questions about the waning interest in Bitcoin. The selling pressure intensified on April 3, coinciding with escalating global trade tensions and fears of an economic recession. This trend is particularly alarming following two days of spot Bitcoin ETF net flows falling below $2 million on April 11 and April 14. Bitcoin's price has remained relatively stable around $83,000 over the past five weeks, indicating a lack of interest from both buyers and sellers. This stability could suggest Bitcoin's maturation as an asset class, especially when compared to several S&P 500 companies that have seen declines of 40% or more from their all-time highs, while Bitcoin's largest drawdown in 2025 was a more moderate 32%. However, Bitcoin's performance has not met the expectations of those who viewed it as "digital gold." Gold has risen 23% in 2025, reaching a record high of $3,245 on April 11. Despite Bitcoin outperforming the S&P 500 by 4% over the past 30 days, some investors are concerned about its diminishing appeal, as it remains uncorrelated with other assets and is not acting as a reliable store of value. In the spot Bitcoin ETF market, Bitcoin holds certain advantages, especially when compared to gold. On April 14, spot Bitcoin ETFs recorded a combined trading volume of $2.24 billion, which is 18% below the 30-day average of $2.75 billion. Therefore, it would be inaccurate to claim that investor interest in these products has vanished. While Bitcoin ETF volumes are lower than the $54 billion per day traded by the SPDR S&P 500 ETF (SPY), they are not far behind gold ETFs at $5.3 billion and surpass US Treasurys ETFs at $2.1 billion. This is noteworthy, considering that spot Bitcoin ETFs in the US were only launched in January 2024, whereas gold ETFs have been trading for over two decades and manage $137 billion in assets. Even when including the Grayscale GBTC Trust, which exceeded 200,000 shares traded per day in 2017 before its conversion to an ETF, Bitcoin investment products are still less than eight years old. Currently, spot Bitcoin ETFs manage approximately $94.6 billion in assets, surpassing the market capitalization of well-known companies such as British American Tobacco, UBS, ICE, BNP Paribas, Cigna, Sumitomo Mitsui, and several others. The top holders of these products include prominent names like Brevan Howard, D.E. Shaw, Apollo Management, Mubadala Investment, and the State of Wisconsin Investment. From pension funds to some of the world's largest independent asset managers, Bitcoin ETFs offer an alternative to traditional assets, irrespective of short-term price fluctuations. As the asset class expands and more products like futures and options are introduced, Bitcoin may eventually be included in global indexes, whether in the commodities or currencies category. This could prompt passive funds to invest, enhancing both price potential and trading volume. Consequently, the current lack of strong net inflows or outflows is not unusual and should not be interpreted as a sign of weakness. This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.