The U.S. spot Bitcoin (BTC) ETF has seen a net outflow of nearly $4.5 billion during the first 8 weeks of 2026, and according to SosoValue data, it marks the longest period of institutional redemptions since the fund's launch.

The losses were concentrated in a 5-week period from the end of January to the end of February, during which approximately $4 billion exited from 12 ETFs.

This year, there were only two weeks with a net inflow: the first week and the third week, during which approximately $1.8 billion flowed in, offsetting some losses.

Where did the money go?

BlackRock's iShares Bitcoin Trust (IBIT) saw over $2.1 billion shed during a five-week outflow period, recording the longest redemption period since its listing in January 2024.

Fidelity's Wise Origin Bitcoin Fund (FBTC) also lost over $954 million during the same period.

CryptoQuant analyst J.A. Maartun noted that cumulative outflows from Bitcoin ETFs since their historical high in October reached $8.3 billion, marking the worst period recorded in this fund category. Across the broader ETF complex, a net capital of $6.18 billion was withdrawn in just three months from November 2025 to January 2026.

Further reading: Vitalik Buterin Has Sold $15.5M In ETH This Month - And The Withdrawals Keep Coming

Why is it important?

This outflow pattern is intertwined with the rotation of funds avoiding risk assets in the macro environment. Gold and gold-related ETFs attracted approximately $16 billion in funds over the past three months, driven by macroeconomic uncertainty and a strong dollar leading capital to traditional safe assets.

The price of Bitcoin has dropped about 38.5% from its all-time high in less than four months, trading in the mid-$80,000 range at the time of writing.

According to CryptoSlate data, from November 2025 to January 2026, a total of approximately $6.18 billion in net capital was withdrawn from spot Bitcoin ETFs, marking the longest outflow trend since these products were launched.

Bloomberg's senior ETF analyst Eric Balchunas pointed out that from a structural perspective, it remains historically robust compared to initial expectations. Pre-listing industry estimates saw the first-year inflow range at $5 billion to $15 billion, but actual inflows have significantly exceeded this, forming a higher baseline before the current adjustments began.

Nevertheless, whether the recent rapid redemption rate is a short-term risk reduction cycle or a long-term adjustment in institutional investor demand remains a key unresolved question surrounding the ETF-dependent demand structure for Bitcoin in 2026.

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