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Institutional selling accelerates as crypto prices fall
Institutional investors pulled significant capital from major Bitcoin and Ethereum exchange-traded funds (ETFs) as the broader crypto market weakened. Data for Nov. 3 shows combined outflows of roughly $327 million across BTC- and ETH-tracking ETFs, underscoring growing caution among professional investors amid rising volatility and tightening macro conditions.
Bitcoin ETFs: BlackRock’s IBIT drives withdrawals
Bitcoin-focused funds led the decline, registering a one-day outflow of $186.51 million on Nov. 3, according to SoSoValue. Notably, the entire BTC ETF outflow was attributed to BlackRock’s IBIT, highlighting a pronounced shift in institutional positioning. Over the last four days, redemptions from Bitcoin ETFs have totaled approximately $1.33 billion, signaling sustained pressure on BTC-related passive products.
Ethereum ETFs record steep redemptions
Ethereum ETFs recorded $135.76 million in outflows on the same day, lifting cumulative losses across ETH funds to about $499.71 million. BlackRock’s ETHA led the redemptions with $81.70 million withdrawn. Fidelity’s FETH and Grayscale’s ETHE also saw notable outflows, at $25.14 million and $15.03 million, respectively. Together, these moves point to broad-based risk-off behavior among institutional allocators in both Bitcoin and Ethereum exposures.
Altcoin ETFs buck the trend with fresh inflows
Despite large outflows from BTC and ETH ETFs, some recently launched altcoin products attracted new money. Solana ETFs enjoyed their largest single-day inflow since launch, bringing in $70.05 million and extending a five-day streak of net positive flows. Hedera’s Canary HBR ETF added $22.06 million on Nov. 3, marking a fourth consecutive day of inflows, while Canary LTCC, the Litecoin ETF, drew a more modest $855,880.
Price action vs. ETF demand
Even with inflows to Solana, Hedera, and Litecoin funds, prices for these tokens fell sharply in the 24-hour window. Solana slid roughly 9.39% to about $158, Litecoin dropped around 6.73% to $86.88, and Hedera lost roughly 5.14% to $0.173. These declines underline the disconnect that can occur between ETF subscription flows and spot market performance during periods of heightened liquidation events.
Market context and outlook
The sustained ETF outflows reflect growing institutional caution as Bitcoin trades below $104,000 and Ethereum sits under $3,500. Tightening macroeconomic conditions and risk-off sentiment contributed to more than $1.37 billion in liquidations across the crypto market in the previous 24 hours, increasing the likelihood of further downside in the near term. While altcoin ETFs continue to attract targeted inflows, the broader trend of withdrawals from flagship BTC and ETH ETFs signals that large investors remain defensive.
For traders and portfolio managers, the current environment demands careful risk management: monitor ETF flows, margin and futures funding rates, and liquidation metrics alongside on-chain indicators. As institutional allocations swing, ETF inflows and outflows will remain an important barometer of market sentiment and may foreshadow short-term price action for major tokens like Bitcoin and Ethereum.
Source: crypto
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