U.S. investors reversed course this week, withdrawing $729 million from spot Bitcoin ETFs, putting downward pressure on the leading cryptocurrency’s price.
Significant outflows were recorded on Wednesday and Thursday across funds managed by BlackRock, Fidelity, Morgan Stanley, and ARK 21‑Shares, according to data from Farside Investors.
After selling close to $90 million in shares earlier in the week, investors bought nearly $119 million on Tuesday, but the remainder of the period saw continued withdrawals.
The sell‑off intensified following reports that the Federal Reserve may raise interest rates, while other negative catalysts included a jump in Brent crude after renewed tanker attacks in the Strait of Hormuz and U.S. President Trump’s comments suggesting stalled talks with Iran, hinting at ongoing Middle‑East tensions.
Bitcoin’s price recently hovered just above $82,688, down more than 3 % over a seven‑day span, though it rebounded about 2 % in the past 24 hours.
The cryptocurrency had been closing in on $90,000 last week, and investors were optimistic ahead of “Uptober,” a month historically favorable for Bitcoin.
Bitcoin’s price has shown sensitivity to geopolitical events this year, especially after U.S. and Israeli strikes on Iran sparked an oil price surge.
Rising oil prices typically reinforce expectations that the Federal Reserve will increase rates, which reduces liquidity and can weigh on Bitcoin’s performance.
However, that pattern isn’t absolute; after the Fed’s recent quarter‑point rate hike and hawkish inflation remarks, Bitcoin’s price actually rose in the following days.
Bitcoin trades roughly 34 % below its all‑time high of $126,080 reached in October, spending much of 2026 in a bear market. Analysts, though, point to evidence of a potential bull rally after gains in August and September.