In a troubling turn for the cryptocurrency market, U.S. spot Bitcoin ETFs have witnessed an unprecedented outflow, totaling $2.97 billion over a span of just ten trading sessions. This significant withdrawal occurred between May 15 and May 29 and marks a new record for consecutive outflows, surpassing the previous peak set earlier in 2025.
Data from a recent analysis indicates that the outflow included a staggering $733 million withdrawn in a single day on May 27, the largest daily exit from these ETFs since January. As a result, total net assets across U.S. spot Bitcoin ETFs plummeted from $104.29 billion to $94.17 billion within this two-week timeframe. This steep decline in assets has removed a crucial layer of support that previously bolstered Bitcoin’s price during market rallies.
Compounding the situation, spot Ether ETFs have also been under immense pressure, with a 14-session outflow streak resulting in approximately $2.6 billion exiting net assets during the same period. The negative sentiment surrounding these ETFs has added to the overall bearish atmosphere engulfing the cryptocurrency markets.
Additionally, the recent surge in oil prices has further strained market conditions. Brent crude has soared past $93 per barrel as geopolitical tensions continue to hinder efforts for a peaceful resolution in the Middle East. Reports indicate that U.S.-Iran ceasefire discussions have stalled, exacerbating the risks associated with Middle Eastern oil supply.
The rise in oil prices has led to a downward pressure on Treasuries, creating additional macroeconomic concerns for crypto traders who are already grappling with the ramifications of ETF withdrawals. As of the latest reports, Bitcoin is trading at $73,397, reflecting a 4.6% decline over the past week. Ether has mirrored this trend, also dropping by 4.6% to $1,996, while other major cryptocurrencies, including Solana and TRON, have seen declines of 3.7% and 3.7%, respectively.
Despite the turmoil in the crypto sphere, global equities have reached new heights. The MSCI All Country World Index recorded a 0.2% gain, with Asian equities climbing 1.1%, hitting an all-time high. Technology stocks have been at the forefront of this rally, with markets in South Korea, Taiwan, and Japan setting new records.
While the broader crypto market struggles, Hyperliquid’s HYPE has emerged as a notable exception. Since its launch on May 12, the U.S. spot HYPE ETF has consistently attracted inflows, seeing a cumulative net asset increase to over $122 million by the end of May. This indicates a growing interest in this particular asset class amidst the prevailing challenges faced by Bitcoin and Ether.
As the market continues to navigate these turbulent waters, investors will be keenly watching the developments surrounding ETF flows and oil prices, both of which are likely to play pivotal roles in shaping future market trends.
