US Bitcoin ETFs Face Net Outflows Despite BlackRock Buying Spree

The broader market activity highlights a stark divergence in investor appetite. While BlackRock’s IBIT maintained strong momentum, ARK 21Shares’ ARKB saw $281.3 million in outflows during the same period, contributing to the negative net balance. This monthly performance slightly outpaced the $230.9 million in net withdrawals observed during the June-July window, reflecting a cooling in demand as Bitcoin prices hovered near key resistance levels.

Institutional data from Glassnode suggests that the average cost basis for ETF holdings sits near $81,500. This proximity to the current spot price has created a cautious environment, with daily trading volumes dipping as low as $700 million on October 23—one of the quietest sessions of the year. Analysts at Bitfinex previously noted that slower buying may stem from investors approaching their breakeven points, causing a hesitation in fresh capital allocation.

Market sentiment shifted briefly toward the end of October, with three consecutive sessions through October 28 bringing $423.6 million back into the funds. BlackRock dominated this recovery, capturing roughly 93.9% of the inflows. Despite this late-month rally, Bitcoin’s price struggled to maintain upward momentum, reflecting the tension between renewed institutional interest and the significant overhead of existing investor positions.