Over $1 billion was withdrawn from ETFs last week, and trading volume increased significantly.
Updated March 5, 2025, 18:33 UTC Published March 5, 2025, 07:04 UTC
What you need to know:
- BlackRock's spot Bitcoin ETF (IBIT) is down 11% last week, with trading volume reaching November levels.
- More than $1 billion has been pulled from ETFs.
BlackRock's spot cryptocurrency exchange-traded fund (ETF) (BTC) prices fell more than 11% last week, with volumes reaching their highest level since mid-November, according to TradingView data.
More than 331 million shares of the ETF, which trades under the ticker symbol IBIT on Nasdaq, changed hands as the fund's price dipped below its January support level of $50.69, eventually falling to $46.07, its lowest since early November.
This may upset the bulls. For many years, one of the cardinal rules of trading has been that price changes must be confirmed by trading volume. This means that a bearish price move is considered valid if it is accompanied by a noticeable increase in the number of shares or contracts traded on the exchange.
Moreover, data from Farside Investors shows that investors pulled more than $1 billion out of ETFs as falling prices and a shrinking CME futures base, which accounts for the returns on carry trades, led to panic selling. The other 10 ETFs listed in the U.S. also suffered losses.
However, IBIT remains the largest ETF in the world, with $39.6 billion in assets under management.
Trading volume increased on Tuesday as IBIT broke horizontal support at $50.69, signaling further losses were possible.
The technical outlook remains bearish as long as prices remain below the previous support-turned-resistance level.
