- US spot Bitcoin ETFs recorded about $635 million in net outflows on October 22, 2026, the largest daily outflow since June 25.
- BlackRock’s IBIT and Fidelity’s FBTC accounted for roughly 74.2% of the day’s withdrawals.
- Ethereum ETFs lost about $111 million the same day, deepening October’s losses to approximately $1,180 million.
US spot Bitcoin exchange-traded funds posted their steepest daily net outflow in several months on Thursday, October 22, 2026, erasing much of the gains from the previous three trading sessions. The selling came as Bitcoin traded close to the estimated average cost basis of ETF holders, a level that analysts are watching closely. Ethereum funds also saw continued withdrawals, adding to concerns about institutional demand.
What Happened
According to SoSoValue data, US spot Bitcoin ETFs recorded roughly $635 million in net outflows on October 22, 2026. The figure was the largest single-day outflow since June 25 and reversed close to 60% of the capital the funds had attracted over the prior three sessions.
BlackRock’s iShares Bitcoin Trust (IBIT) led the redemptions with $254 million in withdrawals. Fidelity’s FBTC followed with $217 million. Together, the two products made up about 74.2% of the day’s net outflows. ARK Invest’s ARKB lost another $109 million, while Grayscale’s GBTC shed $30 million and Bitwise’s BITB gave up $27 million. Morgan Stanley’s MSBT was the only fund to record new money, with inflows of about $2 million.
The sell-off coincided with Bitcoin dipping as low as $80,841 during the reporting period. Broader market stress, including escalating tensions in the Middle East and renewed worries about US technology stocks, weighed on sentiment across financial markets.
Why It Matters
The outflows interrupted a recovery in institutional demand that had followed two consecutive weeks of ETF withdrawals. Bitcoin funds attracted $527 million on October 19, 2026, then $23 million on October 20 and $528 million on October 21. Thursday’s selling pulled the week’s net inflows down to about $443 million, which means the rebound is now far less clear-cut.
For investors, the most closely watched signal is cost basis. In its October 21 market report, Glassnode estimated, using data through October 19, that US spot Bitcoin ETF holders acquired their coins at an average price of approximately $81,500. Corporate Bitcoin treasuries were estimated to hold their coins at an average cost of about $80,200. With Bitcoin trading near these levels, many holders are sitting close to break-even, which can encourage selling when prices weaken.
Simon-Peter Massabni, head of business development at XS.com, told CryptoSlate that the unstable flows reflect investors who are becoming more cautious and are looking for short-term trading opportunities rather than committing capital for longer periods. He said Bitcoin appears to be finding tentative support above $80,000, but buying momentum is not yet strong enough to support a sustained recovery.
Corporate demand has also softened. According to Glassnode, monthly treasury purchases have stayed below one-tenth of their November 2024 peak since June, removing a source of buying that had helped absorb weakness in earlier market declines.
Market Context
Glassnode noted that buy orders clustered around $80,000 were heavily depleted during the October 15 sell-off but had been partly rebuilt by October 20, although at smaller sizes than before. The firm identified the True Market Mean near $77,600 as the next major downside reference if Bitcoin closes below $80,000. On the upside, the cost basis of holders and concentrated sell orders between $85,000 and $87,500 could limit any rebound.
Macroeconomic conditions are also weighing on risk assets. Escalating hostilities in the Middle East have raised concerns about energy supply disruptions, pushing Brent crude above $110 a barrel and adding to fears of stronger global inflation. Massabni argued that sustained high energy prices could push central banks to keep monetary policy tight, reducing the liquidity available for speculative assets. US equities showed similar pressure on the same day, with the Nasdaq Composite falling 2.6% and the S&P 500 declining 1.21%. Part of that decline was linked to investor concerns about the returns on heavy spending on artificial intelligence infrastructure.
Ethereum has faced a more persistent pattern of withdrawals. US-listed Ethereum ETFs recorded about $111 million in net outflows on October 22, 2026. BlackRock’s ETHA lost $75 million, and its staking-focused ETHB product saw $17 million in withdrawals. Grayscale’s two Ethereum funds shed a combined $20 million, while Fidelity’s FETH attracted about $2 million, the only positive contribution among funds reporting activity that day. Across October, Ethereum ETF outflows reached approximately $1,180 million, well above September’s $832 million in inflows, and year-to-date net inflows fell to about $387 million. The funds lost a combined $129 million on October 19 and 20, 2026, before attracting $15 million on October 21.
Massabni said institutional demand for Ethereum remains inconsistent. He described the October 21 inflows as encouraging but insufficient to offset earlier withdrawals. In his view, a meaningful Ethereum recovery would require several consecutive sessions of sustained buying, with the asset still struggling to establish a firm base around $2,400.
What to Watch Next
Readers should track daily ETF flow data to see whether Bitcoin funds can return to net inflows and hold them. Key price levels include the $80,000 area, which Glassnode highlighted as a critical support zone, the True Market Mean near $77,600 as a possible downside reference, and the $85,000 to $87,500 band where selling pressure may appear. Movement in holder cost basis, along with any change in corporate treasury buying, will also show whether demand is strengthening.
Macro developments are equally important. Oil prices, Middle East developments, and US equity performance could shape risk appetite across crypto markets. The Federal Reserve’s next policy decision is scheduled for October 28, 2026, and its tone on inflation and interest rates may influence liquidity conditions for speculative assets.
Source: original report
