U.S. spot Bitcoin exchange-traded funds (ETFs) have seen significant outflows over $800 million in April 2025, indicating a clear change in investor mood despite a recent Bitcoin price rebound. BlackRock’s iShares Bitcoin Trust (IBIT) had the biggest withdrawals, with $393.2 million taken out just for the month.
Other prominent Bitcoin ETFs also had notable outflows: Grayscale Bitcoin Trust (GBTC) saw $256.4 million leave, Fidelity’s Wise Origin Bitcoin Fund (FBTC) reported $64.5 million in withdrawals, and Bitwise Bitcoin ETF (BITB) saw a $42.3 million drop in assets. Especially, the Grayscale Bitcoin Mini Trust (BTC) was the only ETF to see favourable inflows, contributing $36.7 million during the same time.
With Bitcoin ETFs together down $326.3 million, the highest single-day outflow happened on April 8. President Donald Trump’s declaration of a 104% tax on Chinese imports coincided with this, which fueled market uncertainty and risk aversion.
This wave of outflows reflects a larger trend of institutional investors moving away from risky crypto assets towards safer fixed-income instruments like bonds. Government bonds have become more appealing because of the Federal Reserve’s aggressive posture anticipated early 2025 interest rate increases, which have led many investors to lock in profits from Bitcoin’s prior surge and cut exposure to crypto ETFs.
certain ETFs, such as BlackRock’s IBIT and Bitwise’s BITB, exhibited sporadic inflows on certain days despite the outflows, suggesting a complex market where certain institutional players keep allocating to Bitcoin ETFs while others pull back. With ETF outflows adding to price drops and more volatility, the general impact has been a negative attitude in the Bitcoin market.
All things considered, the notable April outflows from Bitcoin ETFs, spearheaded by BlackRock’s IBIT, highlight a prudent institutional attitude in light of macroeconomic uncertainty and a preference for bonds over riskier crypto assets. This trend underlines the continuous difficulties Bitcoin has in obtaining consistent institutional capital inflows even with its recent price recoveries.
