U.S. Spot Bitcoin ETFs Face Continued Outflows Amid Seasonal Pressures

Summary:

U.S. spot Bitcoin ETFs ended the year under significant selling pressure, with net outflows reaching $175.3 million on December 24, according to Farside Investors. Over the past five trading sessions, total net outflows amounted to $825.7 million, driven largely by tax-loss harvesting and reduced institutional risk appetite. Despite these outflows, Bitcoin’s price remained stable around $87,700, signaling underlying demand. Analysts suggest that a recovery in institutional inflows could set the stage for a Bitcoin ETF rebound in the new year.

What This Means for You:

• Monitor Seasonal Trends: Be aware of year-end practices like tax-loss harvesting that can impact ETF performance.
• Assess Institutional Sentiment: Track indicators like the Coinbase Premium Index to gauge market demand.
• Prepare for Potential Recovery: Stay informed on institutional inflows, which could signal a turnaround in Bitcoin ETF performance.
• Future Outlook: Expect continued volatility in the short term but remain vigilant for signs of renewed institutional interest in 2026.

Original Post:

U.S. spot Bitcoin ETFs closed out the year under heavy pressure, extending their losing streak into the shortened Christmas Eve trading session. According to data from UK-based investment firm Farside Investors, net outflows on December 24 totaled approximately $175.3 million. This marked another negative day for the products, bringing total net outflows over the past five trading sessions to roughly $825.7 million. Since December 15, U.S. Bitcoin ETFs have recorded net redemptions on nearly every trading day, with only one exception last week, when inflows of about $457.3 million were reported.

Market observers largely attribute the selling pressure to seasonal factors. Crypto trader Alek explained on X that much of the ETF selling is likely driven by tax-loss harvesting, a common year-end practice in which investors realize losses to offset taxable gains. He also pointed to the recent quarterly options expiry, which may have reduced risk appetite among institutional investors. At the same time, the Coinbase Premium Index has remained negative for weeks, signaling weaker demand from U.S.-based buyers.

Analyst Ted Pillows summarized the situation by noting that the United States currently appears to be the largest net seller of Bitcoin, while buying interest is increasingly coming from Asian markets. Ethereum ETFs have shown a similar pattern, with rolling 30-day net flows remaining mostly negative since early November.

Bitcoin Holds Steady Despite ETF Selling. Despite the heavy ETF outflows, Bitcoin has remained relatively stable, trading near $87,700. Given the scale of selling pressure, this resilience can be interpreted as a constructive sign of underlying demand and structural support.

With the calendar turning toward 2026, many market participants are watching closely to see whether seasonal selling pressure fades and institutional inflows return—potentially setting the stage for a renewed Bitcoin ETF recovery in the new year.

Extra Information:

• Grokipedia Deep Search: Explore real-time insights and verified facts on Bitcoin ETFs and market trends.
• Farside Investors: Access detailed data on ETF flows and institutional investment patterns.

People Also Ask About:

• What is tax-loss harvesting? It’s a strategy where investors sell assets at a loss to offset taxable gains.
• Why is the Coinbase Premium Index important? It indicates demand differences between U.S. and international Bitcoin buyers.
• What drives institutional interest in Bitcoin ETFs? Factors include market sentiment, risk appetite, and regulatory developments.
• How do seasonal factors affect crypto markets? Year-end practices like tax planning can lead to increased selling pressure.

Expert Opinion:

“Bitcoin’s stability amid ETF outflows suggests strong structural demand, particularly from international markets. As seasonal pressures ease, institutional inflows could catalyze a recovery in 2026,” says cryptocurrency analyst Ted Pillows.

Key Terms:

• Bitcoin ETF outflows
• Tax-loss harvesting crypto
• Coinbase Premium Index
• Seasonal crypto market trends
• Institutional Bitcoin demand
• Bitcoin price stability
• Cryptocurrency market recovery 2026

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