US spot Bitcoin exchange-traded funds (ETFs) recorded USD 643.3 million in net withdrawals on October 30, their largest daily outflow since June 25. The reversal followed Binance's reported USD 6.3 billion security breach and left institutional demand looking increasingly fragile.
SoSoValue’s data suggests BlackRock's IBIT recorded USD 233.7 million in outflows, while Fidelity's FBTC lost approximately USD 201 million. ARK 21Shares' ARKB shed USD 129.55 million, Grayscale's GBTC USD 53.32 million, and Bitwise’s BITB USD 25.72 million.
Friday's withdrawals erased approximately 63.6% of the year's net inflows recorded before that session. The previous larger daily outflow occurred June 25, when investors withdrew USD 696.3 million.
Total Bitcoin ETF assets declined to USD 98.14 billion, according to SoSoValue. However, cumulative inflows since the products launched remained approximately USD 56.98 billion, distinguishing long-term allocations from weaker 2026 demand.
The withdrawals followed a reported USD 6.3 billion Binance hack on October 29, although ETF data cannot establish why individual investors sold. Nick Forster, Chief Executive of Derive, said, “The market was already under pressure, but the Binance hack added another layer of uncertainty.”
According to Reuters, Binance customers subsequently withdrew a net USD 3.64 billion after withdrawals reopened, indicating the stress on confidence across cryptocurrency markets.
Bitfire Research reported a negative Coinbase premium ranging from -0.18% to -0.27%, suggesting softer US spot buying. CoinMarketCap’s Crypto Fear and Greed Index stands at 36 in fear territory, also indicating caution. Ethereum funds experienced USD 155.9 million in outflows Friday, according to The Block, suggesting the pullback extended beyond Bitcoin.
Upcoming US employment figures on November 6 could influence Federal Reserve interest-rate expectations. Investors are also monitoring the November 3 midterm elections and potential MSCI index exclusions affecting corporate Bitcoin holders.
Continued ETF redemptions could pressure sentiment, while renewed inflows would indicate improving demand. Neither outcome is guaranteed, particularly while exchange security concerns and broader market volatility persist.
Also Read: Crypto Prices Today: Bitcoin Climbs Near USD 78,500 as Binance Restores Withdrawals