Crypto exchange-traded funds recorded continued net outflows on April 9, extending a short-term reversal in institutional demand following strong inflows earlier in the week.
U.S.-listed spot Bitcoin ETFs saw total net outflows of approximately $124.5 million on April 9, according to aggregated flow data. The negative flows marked the second consecutive day of redemptions, following roughly $159 million in outflows on April 8, indicating a shift in positioning after a surge in inflows on April 7.
The reversal comes just days after Bitcoin ETFs recorded approximately $471 million in inflows on April 7, one of the strongest single-day allocations in recent weeks. The rapid swing highlights the volatility of institutional flows, which increasingly influence short-term market dynamics.
Fidelity and ARK lead outflows despite new inflows
Outflows on April 9 were concentrated among several major issuers. Fidelity’s Wise Origin Bitcoin Fund (FBTC) recorded approximately $79 million in redemptions, while ARK 21Shares’ ARKB saw around $75 million in outflows. Grayscale’s Bitcoin Trust (GBTC) added roughly $11 million in additional outflows.
These redemptions outweighed inflows into other funds, including BlackRock’s iShares Bitcoin Trust (IBIT), which recorded approximately $40 million in inflows.
A notable development on the day was the debut of Morgan Stanley’s spot Bitcoin ETF, which attracted approximately $30.6 million in first-day inflows and generated about $34 million in trading volume. Despite this new demand, aggregate flows remained negative as selling pressure from larger funds dominated.
The distribution of flows suggests a rotation within institutional portfolios rather than a broad exit from the asset class, with capital shifting between issuers rather than leaving the market entirely.
The back-to-back outflow days point to a more cautious institutional stance following recent market volatility and geopolitical developments. ETF flows are widely used as a proxy for institutional positioning, as these products are primarily accessed through traditional financial channels.
Recent data indicates that Bitcoin ETFs experienced a combined $244.9 million in outflows across April 8 and April 9, underscoring the scale of the short-term pullback.
Analysts note that such reversals are not uncommon following periods of strong inflows, particularly when macro uncertainty remains elevated. Institutional investors often adjust exposure in response to changing risk conditions, including shifts in interest rate expectations and geopolitical developments.
Market implications and outlook
The April 9 outflows highlight the increasingly dynamic nature of ETF-driven crypto markets, where large capital movements can rapidly influence liquidity and price direction. While inflows earlier in the week suggested renewed institutional demand, the subsequent reversal indicates that conviction remains uneven.
Despite the short-term pullback, total assets held by Bitcoin ETFs remain substantial, with tens of billions of dollars in capital allocated to the asset class. This suggests that longer-term institutional participation remains intact, even as short-term flows fluctuate.
Market participants are likely to monitor whether outflows persist in the coming sessions or stabilize following the recent volatility. Sustained redemptions could signal a broader de-risking trend, while a return to inflows would reinforce the view that institutions are using periods of weakness to accumulate positions.
For now, the data reflects a mixed institutional outlook, with capital rotating between funds and reacting to evolving macro conditions. As ETF flows continue to play a central role in crypto market structure, their direction remains a key indicator of sentiment and liquidity in the digital asset ecosystem.
