Bitcoin ETFs See $773M Outflows as BTC Tests $80,000

Bitcoin ETFs Experience Heavy Two-Day Withdrawals

If you have been watching the crypto markets recently, you might have noticed some fresh volatility. Spot Bitcoin exchange-traded funds (ETFs) in the United States recorded a sharp exit of capital over two consecutive trading sessions.

On October 23, 2026, institutional investors pulled a net total of $137.94 million from these ETF products. This movement followed an even larger decline the previous day, when $635.49 million left the funds.

That earlier single-day withdrawal marked the largest cash exit the market had seen since late June. Together, these two trading days brought total net withdrawals to $773.43 million.

Breaking Down the ETF Cash Outflows

Not all major ETF issuers experienced the same level of redemptions. Some major funds saw heavy selling pressure, while others managed to pull in modest fresh capital.

Here is a breakdown of how individual funds performed on October 23:

• BlackRock's iShares Bitcoin Trust (IBIT): Recorded the largest withdrawal, with $110.34 million leaving the fund in a single session.
• Fidelity's Wise Origin Bitcoin Fund (FBTC): Saw $31.78 million in net capital outflows.
• Morgan Stanley's MSBT: Defied the negative trend by recording $4.19 million in positive net inflows.

To help understand why this matters, think of spot Bitcoin ETFs as major financial gateways. When institutional funds pull money out, it creates downward selling pressure across the broader market.

The Bigger Picture: Weekly Flows Remain Positive

While a two-day loss of $773 million sounds substantial, taking a broader look offers a slightly different perspective.

Despite the sharp selling on October 22 and 23, total weekly flows for spot Bitcoin ETFs actually stayed in positive territory. Overall net weekly inflows hovered around $228.2 million.

This difference highlights how quickly momentum can shift in the crypto market. Early-week gains were strong enough to cushion the sudden wave of late-week institutional withdrawals.

Franklin Templeton Introduces New Hybrid Bitcoin Funds

Amid the ETF withdrawals, major Wall Street asset manager Franklin Templeton made a strategic move. The firm manages approximately $1.8 trillion in assets.

Franklin Templeton received approval from the Nasdaq exchange to list two new Bitcoin-focused investment products. However, these are not standard spot Bitcoin ETFs.

The two new approved funds are:

• Franklin US Equity Bitcoin DRIP Index ETF (FBEQ)
• Franklin US Innovation Bitcoin DRIP Index ETF (FIBT)

Unlike traditional spot ETFs that track Bitcoin's price directly, these funds combine conventional U.S. equities with a strategy aimed at steadily accumulating Bitcoin over time.

Bitcoin Price Tests Key $80,000 Support Level

Despite news of Franklin Templeton's new funds, Bitcoin's spot price remained under pressure. BTCBTC-0.95% was trading near $80,550, down 1.32% over 24 hours.

Traders are paying close attention to the $80,000 level. In technical analysis, a support level acts like a safety floor where buying demand often enters to prevent further drops.

If Bitcoin stays above $80,000, it suggests buyers are willing to absorb the sell orders. If it breaks below that price, selling pressure could increase further.

Moving Averages Show Trend Background

On the daily chart, Bitcoin continues to hold above its primary long-term moving averages. Analysts use moving averages to filter out short-term price noise and track overall trends.

Two key trendlines sit below current price levels:

• 100-Day Moving Average: Positioned near $77,500 and sloping upward.
• 200-Day Moving Average: Standing around $76,200 and also sloping upward.

Because both moving averages are rising, the long-term trend still points upward. However, short-term market dynamics remain volatile.

High Open Interest Adds Liquidation Risks

A major source of concern for market participants is elevated open interest in futures markets. Open interest measures the total number of outstanding derivative contracts that remain unsettled.

High open interest indicates that many traders are using leverage—borrowing funds to magnify their positions. While leverage boosts potential gains, it also raises downside risks.

If Bitcoin loses the $80,000 support level while leveraged long positions stay high, forced sell orders could trigger.

These forced liquidations could create a cascading sell-off, rapidly pushing prices down toward the 100-day moving average near $77,500.

Balanced Market Scenarios to Consider

The crypto market is currently providing mixed indicators. Investors should evaluate potential outcomes neutrally before making any financial decisions.

The Potential Bullish Scenario

If institutional buyers return to spot ETFs and Bitcoin holds above $80,000, price stability could return. Continued institutional product expansion from firms like Franklin Templeton could gradually bolster market confidence. However, persistent macroeconomic pressures or renewed ETF outflows could easily cap further price upside.

The Potential Bearish Scenario

If ETF withdrawals persist and Bitcoin falls decisively below $80,000, high leverage could trigger cascading liquidations. Under these conditions, the price might decline toward key support targets near $77,500 or $76,200. On the flip side, strong spot market buying at lower levels could absorb liquidations faster than expected.

Risk Disclaimers and Market Updates

Digital asset markets remain highly sensitive to sudden capital shifts and trading leverage. Readers should evaluate all market facts carefully.

Past performance of digital assets is not a guarantee of future results. Historical price trends and fund flows do not guarantee future market behavior.

To keep track of ongoing price movements and order book data, you can view live market details directly at bitkub.com/th/market/BTC.