Bitcoin ETF Rebound Loses Steam as BTC Falls Below $63,000

Bitcoin's recent ETF rebound has hit a snag, losing 38% of its gains in just four sessions. The setback comes as Bitcoin itself fell below $63,000 on August 13.

Morgan Stanley's Bitcoin Trust and Grayscale's smaller Bitcoin fund, the Mini Trust ETF, were the only two US spot Bitcoin funds to attract capital that day, offsetting part of a broader withdrawal. They took in a combined total of $46 million, while seven other products posted gross outflows totaling $177 million.

Grayscale's larger GBTC fund lost $36.3 million on August 13, but the Mini Trust's inflow was enough to leave Grayscale's two products a combined $2.6 million positive for the day. This divergence within Grayscale's own lineup stands out in a session where most other US spot Bitcoin ETFs saw significant withdrawals.

The Fidelity and ARK 21Shares Bitcoin ETF were among the funds that drove these broad redemptions, with ARK 21Shares accounting for $58.8 million of gross outflows and Fidelity's FBTC shedding $55.1 million.