BlackRock Bitcoin ETF Records $1.26B Outflows Amid Price Drop and Rising Hedging Costs
BlackRock’s spot Bitcoin ETF, IBIT, has seen record outflows this month as its price tumbled and the cost of bearish options surged.
The Nasdaq-listed ETF posted a net $1.26 billion redemption in November, marking its largest monthly outflow since launching in January 2024, according to SoSoValue. Across the market, 11 spot Bitcoin ETFs have collectively recorded withdrawals totaling $2.59 billion.
IBIT’s price has fallen 16% to $52, a level last reached on April 22, according to TradingView. The decline has spurred traders to buy put options to hedge against further losses.
The 250-day put-call skew, which measures the relative cost of puts versus calls, has jumped to 3.1%—a seven-month high—indicating that downside protection is currently at its most expensive relative to calls since April, according to MarketChameleon.
The combination of heavy outflows and expensive hedges underscores investor caution around BlackRock’s Bitcoin ETF amid ongoing market volatility.
