U.S. spot Bitcoin ETFs posted their largest and longest withdrawal streak on record, with $3.45 billion pulled across 11 consecutive sessions ending June 2. Bitcoin plunged below $66,000 for the first time since April as institutional capital rotated into an AI-driven equities rally pushing global stocks to all-time highs.
U.S. spot Bitcoin ETFs posted their largest and longest withdrawal streak on record, with $3.45 billion pulled across 11 consecutive sessions ending June 2. Bitcoin plunged below $66,000 for the first time since April as institutional capital rotated into an AI-driven equities rally pushing global stocks to all-time highs.
U.S. spot Bitcoin ETFs have logged a record 11 consecutive sessions of net outflows totaling $3.45 billion, according to SoSoValue data cited by CoinDesk. The streak, which began May 15, surpassed the previous record of 8 consecutive days set in February 2025. The single worst day saw $1.1 billion exit the funds.
Bitcoin fell 6.4% to a 24-hour low of $65,708 on June 3, marking a 12.3% decline on the week. Ethereum broke below $1,900, and Solana's SOL fell 9% to $73.25. The MSCI All Country World Index set a fresh all-time high the same day, driven by semiconductors and AI.
The divergence between crypto and equities is the story. Global stocks hit fresh records on an AI rally — the Philadelphia Semiconductor Index rallied 6% to all-time highs — while Bitcoin suffered its worst institutional exodus since ETF launch. Charles Schwab analyst Jim Ferraioli noted that Bitcoin is 'losing its status as the market's dominant momentum trade' as capital rotates to AI, IPOs, and other momentum plays.
Strategy (MSTR) also disclosed its first Bitcoin sale since December 2022 — 32 BTC (~$2.5M) — adding a symbolic blow to the narrative. CryptoQuant warned that 'ETF and corporate treasury accumulation has slowed markedly,' suggesting the primary demand source behind Bitcoin's rally may be fading.
The Federal Reserve's June statement removed language about 'progress toward the 2% target,' with two voting members suggesting rate cuts could be pushed into 2027. The 10-year Treasury yield climbed 18 basis points to 4.82%, increasing the opportunity cost of holding non-yielding Bitcoin.
The largest Bitcoin ETF outflow in history isn't a crypto crash — it's a rotation. Institutional risk capital is choosing Nvidia over Bitcoin.
What most people miss: Bitcoin isn't crashing because of weak fundamentals or Saylor's token sale. It's losing the momentum trade. For two years, Bitcoin was the highest-conviction risk-on bet in portfolios. Now AI semiconductors offer the same upside narrative with revenue growth attached. The $3.45B ETF exit isn't panic selling — it's rational reallocation. The real signal to watch: if this rotation persists through Q3, it could mark a structural shift where Bitcoin trades more like gold (macro hedge) and less like a tech growth proxy.
Capital Group ($3.3T AUM) disclosed a 10.63% stake (136M shares, ~$203M) in Metaplanet, making it the largest shareholder of Japan's premier Bitcoin treasury company. The firm already holds a position in Strategy, now extending its Bitcoin treasury thesis across two jurisdictions.
T. Rowe Price, the $1.89 trillion asset manager, launched the T. Rowe Price Active Crypto ETF (TKNZ) on NYSE Arca — the first actively managed multi-token spot crypto exchange-traded product in the marketplace. The fund holds a diversified portfolio across Bitcoin, Ethereum, BNB, XRP, Solana, and Hyperliquid, with active allocation adjustments led by Blue Macellari, Head of Digital Assets since 2022.
The SEC approved an immediately effective rule change quadrupling IBIT options position limits from 250,000 to 1,000,000 contracts, enabling up to $5B in notional options exposure per participant. The approval landed the same day BlackRock reported record $15.3T AUM and $191.7B Q2 inflows, even as IBIT shed $3.3B during the quarter.