Bitcoin ETFs ‘Hanging In There’ Despite Price Plunge: Analyst

US-based spot Bitcoin exchange-traded fund (ETF) holders are showing relatively firm conviction despite a four-month Bitcoin downtrend, according to ETF analyst James Seyffart.

“The ETFs are still hanging in there pretty good,” Seyffart said in an X post on Wednesday.

While Seyffart said that Bitcoin (BTC) ETF holders are facing their “biggest losses” since the US products launched in January 2024 — at a paper loss of around 42% with Bitcoin below $73,000 — he argues the recent outflows pale in comparison to the inflows during the market’s peak. 

Bitcoin ETF holders are “underwater and collectively holding.”

Before the October downturn, spot Bitcoin ETF net inflows were around $62.11 billion. They’ve now fallen to about $55 billion, according to preliminary data from Farside Investors.

“Not too shabby,” Seyffart said. 

Meanwhile, investment researcher Jim Bianco said in an X post on Wednesday that the average spot Bitcoin ETF holder is 24% “underwater and collectively holding.”

Bitcoiners are being “very short-sighted.”

Crypto analytics account Rand pointed out in an X post on Tuesday that this is “the first time in history there have been three consecutive months of outflows.”