On June 5, U.S. spot Bitcoin exchange-traded funds experienced a renewed wave of capital exits, with BlackRock’s IBIT accounting for the largest portion of the $325.69 million net outflows. This reversal followed a brief respite where only $3.05 million had entered the market the previous day.
The data, sourced from SoSoValue, revealed that BlackRock’s IBIT saw $213.65 million in withdrawals, while Fidelity’s FBTC and Grayscale’s GBTC followed with $59.69 million and $60.84 million, respectively. Only VanEck’s HODL and Morgan Stanley’s MSBT attracted fresh investments, totaling $8.5 million combined.
This outflow trend coincided with a sharp drop in Bitcoin’s price, which plunged to an intraday low near $59,100 before recovering to around $61,000. The decline pushed the cryptocurrency to its lowest point since October 2024, erasing over $15,000 from recent highs.
Analysts pointed to several factors driving the sell-off, including persistent ETF redemptions and a hawkish shift in Federal Reserve expectations. Citigroup highlighted that investors might be underestimating the impact of ETF demand on Bitcoin’s price, dismissing the notion that Strategy’s sale of 32 BTC for stock distributions was primarily responsible for the downturn.
Stronger-than-expected U.S. labor data further dampened hopes for rate cuts, prompting traders to reduce risk exposure. BNP Paribas exacerbated the sentiment by forecasting three Federal Reserve rate hikes starting in December, reversing earlier expectations for stable policy.
Technical indicators suggest Bitcoin is at a critical juncture after entering oversold territory. The daily RSI has dipped below 30, while the MACD remains bearish, raising the possibility of a relief rally. Analyst Kamile Uray noted that buyers must defend the $60,000 level to avoid a deeper drop toward $55,000–$50,000.
Resistance is seen at $67,500 and the $74,000–$75,000 zone, with liquidation clusters between $67,000 and $75,000 potentially accelerating a recovery. On the downside, Ali Martinez pointed to MVRV pricing bands at $53,900 and $43,130 as historically attractive risk-reward zones during major corrections.
At press time, Bitcoin was trading near $61,300, with market participants closely watching whether support at $60,000 holds amid ongoing ETF outflows.