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- Bitcoin and Ethereum ETFs saw nearly $1 billion pulled in a single day, signaling strong investor caution.
- A hawkish Federal Reserve tone lifted the dollar, pressuring crypto markets as traders awaited clearer liquidity conditions.
Spot Bitcoin and Ethereum exchange-traded funds (ETFs) recorded heavy withdrawals on November 4, with total outflows approaching $1 billion, according to SoSoValue data.
Bitcoin spot ETFs saw net outflows of $578 million, marking the largest single-day withdrawal since August 1. The biggest outflow came from Fidelity’s FBTC, which saw $356.6 million leave the fund. Ark & 21Shares’ ARKB recorded outflows of $128 million, while Grayscale’s GBTC saw $48.9 million leave the fund. Overall, seven Bitcoin funds reported negative flows on the day.
These outflows extended a five-day streak for Bitcoin ETFs, bringing total redemptions to about $1.9 billion. The pattern signaled persistent caution among large holders responding to broader financial sentiment shifts.
Ethereum ETFs See $219M withdrawal Wave
Ethereum spot ETFs also faced pressure, recording total net outflows of $219.37 million yesterday. BlackRock’s ETHA led the withdrawals with $111.8 million exiting the fund. Grayscale’s ETHE and ETH products saw outflows of roughly $19.78 million and $68.64 million, respectively, while Fidelity’s FETH recorded withdrawals of around $19.86 million.
Rachel Lucas, crypto analyst at BTC Markets, said that “The fifth straight day of outflows marks a decisive shift in institutional positioning. This isn’t just a pause; it’s a recalibration.” According to Lucas, cautious risk management currently dominates the market.
Vincent Liu, Chief Investment Officer at Kronos Research, shared a similar view and said the current trend shows caution in the market. According to him, several days of steady redemptions indicate that large institutions are reducing leverage and lowering exposure amid growing economic uncertainty.
He noted that until liquidity conditions stabilize, capital will continue to shift between different instruments, and outflows from ETFs are likely to continue. He said,
Until liquidity conditions stabilize, capital rotation will keep the ETF bleed alive.
Macroeconomic Pressure Shapes Sentiment
The U.S. Federal Reserve’s stance last month played a key role in shifting investor sentiment. Fed Chair Jerome Powell’s slightly hawkish remarks dampened hopes for an interest rate cut in December, pushing the U.S. Dollar Index above 100. The stronger dollar added pressure on risk assets, including cryptocurrencies.
Derek Lim, head of research at Caladan, said that delaying interest rate cuts could add short-term pressure on risk assets. However, he believes the broader setup for digital assets remains fairly positive. According to him, “we’re still moving towards the end of [quantitative tightening]QT and rate cuts are coming sooner or later.”
Lim pointed out that in this cycle, Bitcoin’s price has dropped 21.5%, falling from $125,000 to $99,000. This decline is smaller than the 31% pullback seen earlier this year during tariff worries and the events tied to “Liberation Day.” Market sentiment is weaker, but the price is still holding at a stronger level compared to the previous drop.
At present, Bitcoin is trading near $101,849 after briefly dipping to $98,950 on Tuesday. It now sits roughly 19% below its October 2025 peak of $126,080.
