U.S.-listed spot bitcoin exchange-traded funds experienced a substantial reversal on Friday, wiping out a large portion of their yearly gains.
Data provider SoSoValue reported that these instruments, which serve as a key barometer for institutional interest, suffered a net reduction of $643.3 million, marking the highest single-session withdrawal since June 25. Prior to Friday’s trading session, these products held a positive net year-to-date influx slightly above $1 billion.
Stated differently, the Friday withdrawals stripped away 63.6% of the aggregate net yearly inflows. This event also stands as the 12th largest single-day capital departure since the products launched in January 2024. The prior high watermark occurred on June 25, when participants pulled $696.3 million.
BlackRock’s IBIT registered the heaviest redemptions on Friday at $233.70 million, followed by Fidelity’s FBTC, which saw $201.4 million leave the fund.
ETFs represent investment vehicles that maintain direct custody of bitcoin and issue exchange-traded shares, permitting market participants to gain exposure without needing to directly hold tokens.
The substantial Friday exodus, which marginally surpassed the October 22 reduction of $635.5 million, highlights a cooling appetite, a trend also highlighted by alternative metrics such as the Coinbase premium, a widely followed gauge of domestic buying interest.
“U.S. spot BTC ETFs recorded a massive single-day net outflow of $643 million on Friday, October 30, pulling total AUM below the $100 billion mark to $98.14 billion, while spot ETH ETFs also posted sustained weekly net outflows,” Bitfire Research said in an email to CoinDesk. “Coupled with the Coinbase Premium remaining in negative territory (-0.18% to -0.27%) and the Crypto Fear & Greed Index softening into the 30–34 range, institutional and spot buying momentum visibly faded.”
Derive, a decentralized exchange, pointed to a massive $6.3 billion exploit on Binance late Thursday as the catalyst for these redemptions.
“The market was already under pressure, but the Binance hack added another layer of uncertainty. $643M exits Bitcoin ETFs as traders rush to protect against further losses. The reaction from traditional investors has been significant. US spot Bitcoin ETFs recorded $643 million in net outflows on Friday, their first trading session following the hack,” Nick Forster, founder and CEO of Derive, told CoinDesk.
Derive functions as the premier decentralized exchange specializing in options trading, a rapidly expanding sector within digital assets.
What next?
Bitfire notes that three primary catalysts demand immediate attention moving forward.
To begin with, the November 3 U.S. midterm elections carry the potential to shape the regulatory trajectory for President Donald Trump’s remaining two years in office.
Next, the November 6 nonfarm payrolls update covering U.S. employment figures for October could shape monetary policy expectations from the Federal Reserve, creating ripple effects across all financial instruments, including digital currencies.
Finally, MSCI’s definitive roster regarding its updated guidelines for non-operating firms remains critical. The index provider previously identified prominent corporate bitcoin holders Strategy MSTR and Metaplanet as possible deletion candidates, a move that could trigger passive equity liquidations and indirectly impact their capacity to accumulate additional bitcoin reserves.
Originally published at https://www.coindesk.com/markets/2026/11/02/bitcoin-etfs-lost-usd643-million-in-outflows-friday-and-2026-is-barely-green-now.
