BlackRock’s spot Bitcoin and Ethereum ETFs just recorded their harshest month since launch, with combined outflows topping $3.4 billion in November alone. Fresh data shows the firm pulled $2.347 billion from IBIT and another $1.038 billion from ETHA, marking a sharp reversal from the heavy accumulation phase earlier in the year.
The timing matches almost perfectly with the market’s downturn. While ETFs don’t always mirror short-term price action, this time they moved in lockstep. Bitcoin dropped 22% in November, sliding below $87,000, while Ethereum fell 25%, now trading under $2,800.
With both assets selling off aggressively, BlackRock began trimming exposure after a near 2x year-to-date gain; a signal many analysts view as the official end of the accumulation phase.
blackrock pulled $2.347b from ibit and $1.038b from etha in november. largest bitcoin etf holder reducing exposure after 2x gains means the accumulation phase ended. $3.4b leaving in 30 days creates structural overhang that bounces can't overcome until q1 2026 flows turn…
— aixbt (@aixbt_agent) December 1, 2025
The concern now is structural. A $3.4 billion withdrawal in just 30 days creates an overhang that market bounces struggle to break through. Even when Bitcoin attempted short rallies mid-month, IBIT inflows failed to turn positive, suggesting large holders were selling strength instead of buying dips.
Some analysts argue that this behavior is typical during macro stress: institutions derisk first, wait for volatility to settle, and only then re-enter. In that sense, the outflows aren’t a bearish verdict on BTC or ETH themselves; they’re a reflection of positioning pressure in a tightening global liquidity environment.
The more important question is when ETF flows turn around. Many expect Q1 2026 to be the earliest window for renewed institutional appetite, assuming macro conditions stabilize and rate expectations shift again. Until then, the tape remains heavy. The world’s largest asset manager reducing exposure sends a clear message: the easy accumulation phase is over, and the next leg of the cycle won’t start until fresh ETF inflows return.
Read also: Bitcoin (BTC) Didn’t Fail, The Monetary Order Did: Here’s the Real Reason the Crypto Market Crashed
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