BlackRock Bitcoin ETF Investors Face Average 40% Loss as Outflows Hit Seven Weeks
Summary
- Bespoke Investment Group estimated that the average return for investors in BlackRock’s iShares Bitcoin Trust (IBIT) has fallen to a 40% loss.
- US spot Bitcoin ETFs posted net outflows for seven straight trading days and seven consecutive weeks, the longest stretch of withdrawals since launch.
- As money flowed out of spot Bitcoin and Ethereum ETFs amid the Fed’s hawkish policy stance, the Hyperliquid (HYPE) ETF and XRP ETF drew limited inflows.
Forecast Trend Report by Period
BlackRock investors in spot Bitcoin exchange-traded funds are sitting on average unrealized losses of about 40%.
The Block reported on June 27 that Bespoke Investment Group estimated the average return for investors in BlackRock’s iShares Bitcoin Trust, or IBIT, had fallen to a loss of roughly 40%.
IBIT has attracted $60.77 billion since its launch in January 2024, but its net assets have shrunk to $44.42 billion as Bitcoin prices slumped. Nate Geraci, president of Novadius Wealth Management, said the trade had been a brutal introduction to Bitcoin investing for mainstream investors.
US spot Bitcoin ETFs posted total net outflows of $1.79 billion in the week ended June 26. That was the second-largest weekly net outflow since the products debuted, behind the $2.61 billion recorded in February 2025.
BlackRock’s IBIT alone saw $444.51 million exit on June 27, extending its streak of net outflows to seven straight trading days. Spot Bitcoin ETFs have now logged outflows for seven consecutive weeks since mid-May, the longest such streak since launch.
Markets have tied the withdrawals to the Federal Reserve’s hawkish policy stance. The Fed held its benchmark interest rate steady on June 18 while lowering expectations for monetary easing, and markets are now pricing in the possibility of another rate increase in December.
Spot Ethereum ETFs also remained under pressure. They posted net outflows of $273.34 million over the same period, marking seven straight weeks of withdrawals. BlackRock’s ETHA alone recorded $12.85 million in net outflows on June 27.
By contrast, some newer crypto ETFs drew fresh money. The Hyperliquid HYPE ETF attracted $108.09 million on June 25, its largest daily net inflow since launch, while the XRP ETF brought in $15.63 million. Even so, their total assets under management remain small compared with Bitcoin and Ethereum ETFs.
