Spot Bitcoin (BTC) exchange-traded funds (ETFs) have recorded their second biggest outflow ever amid an accelerating selloff in the cryptocurrency sector.
Eleven Bitcoin ETFs listed in the U.S. recorded a combined net outflow of $582 million U.S. on Jan. 8, the second-largest total ever, according to market data.
The record one-day withdrawal from Bitcoin ETFs was $680 million U.S. recorded on Dec. 19 of last year.
Fidelity's FBTC fund led the latest outflow, losing a record $258 million U.S. in a day, followed by BlackRock's IBIT ETF, which saw redemptions of $124 million U.S.
The large outflows come amid renewed inflation fears in the U.S., which have fueled bond market volatility, sending risk assets such as stocks and crypto lower.
Over the past three days, Bitcoin's price has declined nearly 10% to $93,200 U.S., marking yet another failure to remain above the $100,000 U.S. threshold.
Minutes from the U.S. Federal Reserve's last meeting on Dec. 18 showed officials are worried about a resurgence of inflation under incoming President Donald Trump's administration.
Investors appear to have turned skittish on crypto leading up to Trump’s inauguration on Jan. 20, and as signs point to a slowing U.S. economy.
