Spot Bitcoin ETFs recorded their largest daily outflow since January amid shifting investor sentiment on geopolitical risks.
U.S. spot Bitcoin ETFs saw net outflows of $733.4 million on May 27, the largest single-day withdrawal since January 29. BlackRock’s $IBIT led the decline with a $527.8 million outflow, its second-largest on record.
The pullback follows weeks of reduced exposure in Bitcoin futures markets and reflects investor reassessment of the so-called debasement trade. Bitcoin, often viewed as a hedge against inflation and geopolitical instability, has retreated as tensions ease between Iran and the U.S.
BTC fell nearly 3% in 24 hours to $73,200, down from a recent peak of $82,000. JPMorgan analysts attribute the weakness to fading concerns over Middle East conflicts and expectations of a lasting peace deal.