BlackRock has shed more than $1 billion in Bitcoin holdings over the course of a single week, coinciding with the largest recorded weekly outflow from U.S. spot Bitcoin exchange-traded funds in 2026. Data from Arkham Intelligence reveals that the asset manager sold Bitcoin on each trading day last week, totaling approximately $1.01 billion. This marks BlackRock’s most aggressive weekly reduction since November 2025. The broader U.S. spot Bitcoin ETF market experienced a combined outflow of roughly $1.26 billion during the same period, indicating that BlackRock was responsible for the majority of the capital exodus.
The sell-off occurred amid a sharp downturn in cryptocurrency markets, with Bitcoin and major altcoins facing sustained pressure. Bitcoin briefly dropped below key support levels before recovering to around $77,443. Institutional investors appear to be reducing exposure due to heightened market uncertainty and concerns over worsening macroeconomic conditions. The recent outflows contrast sharply with the strong inflows seen earlier in the year, which had propelled Bitcoin to new highs. Data from CoinGlass and SoSoValue also shows weakening momentum in derivatives markets, including declining open interest and fluctuating funding rates.
Despite the pullback in Bitcoin ETFs, BlackRock continues to expand its blockchain-based financial products. The firm recently filed a second application for a tokenized fund with the U.S. Securities and Exchange Commission, leveraging Securitize’s infrastructure. This follows the remarkable growth of BUIDL, BlackRock’s tokenized U.S. Treasury fund launched in March 2024, which now holds roughly $2.3 billion in assets, making it the largest tokenized Treasury fund globally. The new filing signals BlackRock’s ongoing commitment to blockchain-based investment vehicles even as institutional demand for Bitcoin ETFs wanes. Competitors like Franklin Templeton, Fidelity, and State Street are also accelerating their tokenized asset initiatives as the real-world asset sector heats up.