Institutional Reality Check
The institutional “clean slate” rally has hit a wall. U.S. spot Bitcoin ETFs have recorded a three-day streak of net outflows totaling $934.8 million, effectively neutralizing the bullish momentum that defined the first trading days of 2026. The reversal forced Bitcoin (BTC) to surrender the $94,000 level, dipping briefly below $89,200 before stabilizing near $91,000.
This isn’t a collapse; it’s a rotation. While the headline number is negative, the internal data reveals a sharp divergence in institutional behavior rather than a uniform exit.
The Receipt: BlackRock vs. The Rest
Data from Farside Investors confirms the sequence that halted the rally:
- Tuesday (Jan 6): -$243.2M
- Wednesday (Jan 7): -$486.1M (Largest single-day outflow since Nov 20)
- Thursday (Jan 8): -$205.5M
The three-day bleed of roughly $935 million nearly wipes out the $1.16 billion in inflows recorded on January 2 and 5. However, the selling was not universal. While Fidelity’s FBTC led the exodus with a massive $312 million outflow on Tuesday alone, BlackRock’s IBIT continued to absorb capital, recording $228 million in net inflows even as the broader market sold off. This signals that while tactical traders and older holders are booking profits, the largest asset manager is still accumulating.
Supply Side Pressure
The price weakness wasn’t driven solely by ETF redemptions. On-chain data indicates significant supply-side pressure from miners. Riot Platforms reportedly liquidated over 1,800 BTC ($161 million) to cover operational costs, adding spot selling pressure into a thinning order book.
The current flows are more reflective of tactical positioning and sentiment shifts than a sudden collapse in underlying demand. Market Analysts
Macro headwinds
The timing of the reversal aligns with renewed macro jitters. Traders are de-risking ahead of Friday’s Non-Farm Payrolls (NFP) report, which will clarify the Federal Reserve’s rate path for Q1. With the “January Effect” inflows now digested, the market is searching for a catalyst to defend the $90,000 support zone.
