Spot Bitcoin ETFs are experiencing a period of decline, with net outflows persisting for four consecutive months as Bitcoin (BTC) potentially faces its fifth month of negative performance in February. Since October 2025, these funds have witnessed a reduction of 85,000 BTC in their holdings, reflecting a broader trend of diminishing institutional interest that could impact BTC's future price.
In October 2025, U.S. spot Bitcoin ETFs reached their peak with net assets close to $170 billion, a figure that has now significantly reduced to $84.3 billion. The cumulative net inflows have decreased to approximately $54 billion, dropping from an all-time high of $63 billion. Since July 2025, inflows have totaled only $5 billion, highlighting a marked decline in capital inputs.
Bitcoin analyst Axel Adler Jr. observed seven trading sessions from February 12 to February 19 and noted net outflows from ETFs amounted to 11,042 BTC. The largest single-day outflow occurred on February 12, with 6,120 BTC withdrawn, equating to around $416 million. Subsequent sessions on February 17 and 18 saw outflows of 1,520 BTC and 1,980 BTC, respectively. Only two sessions during this period recorded positive inflows, with February 6 adding 5,900 BTC to the funds. According to Adler, a series of three consecutive positive sessions is necessary to confirm a resurgence in ETF accumulation. Until that happens, these flows continue to exert supply pressure on the market.
Macroeconomic indicators support this cooling trend, with ETFs losing roughly 87,000 BTC since November 2025, including around 15,000 BTC in February alone. ETF holdings have decreased to approximately 1.26 million BTC from their peak of 1.36 million BTC. BlackRock’s IBIT has seen its holdings fall from 806,000 BTC to 759,000 BTC, a 6% decrease, while Fidelity’s FBTC saw a 12.6% reduction, dropping to 186,000 BTC from 213,000 BTC. Despite these changes, Bitcoin's market price has declined more significantly than ETF balances, with spot market demand unable to fully counterbalance the overall market pressure.
In the broader financial landscape, gold has attracted increasing attention as Bitcoin ETF inflows have waned. Bitcoin saw a peak in 90-day inflows at $16 billion in March 2024, which then dropped to $3-$4 billion between June and October before rebounding to $21.6 billion in December 2024. Meanwhile, gold ETFs shifted from negative flows to reach $30 billion by April 2025, peaking at $36 billion in October 2025. This trend of alternating leadership between Bitcoin and gold ETFs underscores investors' preference for gold during periods of financial uncertainty, given its stability and long-standing market presence.
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