Nearly $300 million flowed out of Bitcoin ETFs in a single week! Rising risk aversion suppresses the crypto market.

Gate News reports that due to the escalation of geopolitical conflicts and compounded macro uncertainties, there was a large-scale withdrawal of funds from the U.S. spot Bitcoin ETFs last week, with a total net outflow of approximately $296 million, indicating a significant decline in market risk appetite.

Data shows that between March 24 and 27, several mainstream funds experienced redemptions, with IBIT becoming the product with the most concentrated outflow. On Friday, the single-day net outflow reached as high as $225.5 million, marking a key point in this round of volatility. Earlier in the week, there was a recorded inflow of $167 million, but as market sentiment weakened, funds quickly shifted towards defensive positions.

Analyst Josh Gilbert pointed out that Bitcoin fell back to a low point while U.S. stocks continued to weaken, with the S&P 500 index recording five consecutive weeks of decline, marking the longest downward cycle in recent years. Energy prices soared to triple-digit levels, further strengthening inflation expectations and forcing the Federal Reserve to delay its interest rate cut path, which exerts pressure on risk assets.

Geopolitical factors also intensified volatility. Recent statements by U.S. President Trump regarding the Middle Eastern situation have heightened market uncertainty, and coupled with the lack of progress in ceasefire negotiations, funds are increasingly inclined to avoid risk assets. Peter Chung and Pratik Kala both believe that the current outflow of funds is primarily driven by risk aversion and quarterly rebalancing, with the scale still within historical normal ranges.

Despite short-term pressures, Bitcoin has shown a certain level of resilience compared to other assets. The current price has risen to around $67,500, but market expectations remain cautious. Forecast data indicates that investors believe the probability of Bitcoin falling to $55,000 is higher than that of rising to $84,000.

Against the backdrop of unresolved macro and geopolitical variables, Bitcoin’s trajectory will still be dominated by sentiment, with ETF fund flows and Federal Reserve policy signals becoming key indicators for future observation.