U.S. Bitcoin, Ether ETFs End Record Multibillion Outflow Streak

The U.S. cryptocurrency ETF market exhaled a cautious sigh of relief on Thursday, June 5, as both bitcoin BTC and ether ETH exchange-traded funds broke their respective outflow streaks — though analysts are quick to point out that the size of Thursday’s inflows barely registers against the scale of the preceding sell-off.

Bitcoin ETFs: A Fragile Turning Point

U.S. spot bitcoin ETFs recorded a combined net inflow of $3.05 million on Thursday, ending a historic 13-session run of redemptions that had drained approximately $4.4 billion from the category since mid-May. It is the longest consecutive outflow streak since spot bitcoin ETFs launched in January 2024, eclipsing prior records set during periods of broader market stress.

“The $3 million figure is less than any single day of outflows during the period, which mostly saw exits above $100 million.”

The broader impact of the sustained outflows has been severe. Total bitcoin ETF assets under management collapsed from $104.29 billion at the beginning of the streak to just $80.40 billion by Thursday — a drawdown of nearly $24 billion in roughly two and a half weeks. Holdings across all U.S. spot bitcoin ETFs now stand at 1.277 million BTC, roughly 7.2% below the record peak set in October 2025, according to CheckOnChain data.

Not all funds participated equally in Thursday’s turnaround. BlackRock’s IBIT, the dominant fund in the category, absorbed $47.66 million in new capital on the day. However, several other major funds continued to haemorrhage assets: Fidelity’s FBTC, Bitwise’s BITB, and Ark Invest’s ARKB all posted net outflows, meaning the headline inflow figure masked ongoing divergence beneath the surface.

Ether ETFs Snap a 17-Day Outflow Run

Ether ETFs staged an even more decisive turnaround on paper, ending a 17-day outflow streak — one of the longest since ether ETFs debuted in mid-2024 — with a $19.30 million net inflow. The caveat, however, is significant: the entire inflow came from a single product. BlackRock’s ETHA was the sole contributor, with every other ether ETF in the category registering zero net flow for the day.

Total ether ETF assets currently stand at $9.78 billion, representing 4.57% of ether’s circulating market capitalisation. Cumulative net inflows since the category’s 2024 launch have reached $11.21 billion, though the category remains roughly $2 billion below its all-time asset peak recorded earlier this year.

Hyperliquid’s HYPE ETFs: The Lone Bright Spot

Amid the broader turbulence, Hyperliquid’s HYPE ETFs stood out as a consistent performer. The three funds dedicated to the decentralised exchange token have logged net inflows on every single trading day since their May 12 debut, accumulating $185.68 million in total assets. On Thursday, the HYPE ETF category added another $12.15 million. Grayscale’s low-fee HYPG fund alone pulled in $4.70 million on its first day of trading, demonstrating robust investor appetite for the emerging asset class even as established crypto ETFs struggled.

Market Backdrop: Pressure from Multiple Fronts

The ETF data landed against a difficult macro and risk-asset backdrop. On Friday, bitcoin fell 1.7% to approximately $62,700, while ether dropped to $1,670. The broader risk environment deteriorated sharply as the global artificial intelligence trade reversed: semiconductor giant Broadcom’s quarterly outlook missed analyst expectations, triggering a selloff that rippled into South Korea’s KOSPI index, which fell 4.7%. The confluence of factors highlights the growing correlation between crypto markets and broader risk-on sentiment driven by technology sector momentum.

For bitcoin specifically, Thursday’s price action — touching $64,660 intraday before closing near $63,800 — underscores the uncertain recovery. The level of 1.274 million BTC in ETF holdings, reached on February 23 as bitcoin recovered from its winter trough near $60,000, remains a closely watched technical support line for institutional sentiment.

Outlook: Cautious Optimism or a One-Day Blip?

One day of modest inflows does not a trend reversal make. The structural drivers that triggered the record outflow streak — a combination of profit-taking, broader risk-off rotation, and macro headwinds from AI sector repricing — have not materially resolved. BlackRock’s continued dominance of inflow activity within both the bitcoin and ether ETF categories suggests that institutional conviction remains concentrated in a handful of flagship products, while smaller funds continue to face redemption pressure. Whether Thursday marks the beginning of a genuine recovery in ETF flows or simply a statistical anomaly within a broader outflow cycle remains to be seen in the sessions ahead.