Fidelity's Bitcoin Fund Loses Big as BlackRock Scoops Up More

Fidelity's Bitcoin spot fund lost $43.1 million on July 29, its largest single-day redemption of the year so far.

However, this outflow was more than offset by inflows into BlackRock's IBIT product, which added a significant $89.8 million to its total, bringing it above $60 billion in cumulative net inflows.

This development comes as on-chain stress gauge Local Market Stress Index (LMSI) rose for the second time in three days, but exchange flows and derivatives leverage stayed flat, keeping the gauge from pushing higher.

In an interview, analyst Axel Adler Jr. described this move as 'real but contained,' saying it is being sustained only by downside price stress. He added that a climb above 40 looks unlikely while exchange flows stay quiet.