• Grayscale’s GBTC, a U.S.-listed spot Bitcoin exchange-traded fund (ETF), recorded its second consecutive day with outflows.
  • It is likely that traders are derisking in anticipation of the U.S. CPI rate and Fed rate decision.

The U.S. listed spot bitcoin ETFs (exchange-traded funds) experienced a second consecutive day of outflows, as traders derisked ahead of the key macroeconomic reports that are scheduled to be released later on Wednesday.

According to SoSoValue, on Tuesday the 11 ETFs saw net outflows of $200 million. This is the highest amount since May 1, when $580 million was recorded. The redemptions occurred during a BTC sale, which saw the asset briefly fall to $66,200.

Grayscale’s GBTC accounted the majority of $120 million outflows. It was also the leader amongst its peers. GBTC has continued its infamous streak of being the worst performing ETF in terms of outflows, with a total $18 billion.

Ark Invest ARKB and Bitwise BITB were the only ETFs to see outflows. Fidelity FBTC, VanEck HODL, and Ark Invest ARKB all saw outflows ranging between $56 million and $7 million. No ETFs experienced any inflows.

The traders said that the outflows likely reflected a derisking move ahead of Wednesday’s CPI and today’s Federal Open Market Committee meeting (FOMC), during which the Fed will decide its monetary policy.

Markets are in a risk-off mood ahead of tomorrow’s CPI and FOMC. The FOMC’s Dot Plot will be released this month, informing the market of the Fed’s expectations for the remainder of 2024.

The firm did add that it still held a bullish long-term view.

We think that this is a great opportunity to collect coin despite the short-term headwinds. QCP noted that there are a number of bullish events coming up, including the launch of the ETH spot ETF and Biden and Trump engaging in a verbal battle to win the crypto vote.

As previously reported, Treasury Secretary Janet Yellen’s Friday speech could cause a reaction to riskier assets like cryptocurrencies based upon her comments.