For months, Bitcoin had strong support from big financial institutions, especially through Spot Bitcoin [BTC] ETFs. Many believed this would bring stability to the market. But that belief is now being tested.
On the 24th of February, Bitcoin fell below the important $63,000 level. At the same time, the ETFs, meant to support prices, became the biggest sellers.
On the 23rd of February alone, investors pulled out $203.8 million from these funds.
These outflow streak with a few exceptions here and there shows a real behavior change. Selling is no longer coming mainly from small retail traders. Now, large institutions are also exiting their positions.
Needless to say, these were the same players once seen as long-term holders.
How did Bitcoin’s price shift sentiments?
With Bitcoin now trading almost 50% below its October 2025 peak of $126,000, the mood has shifted.
The current wave of selling is a sharp break from what we saw over the last two years. When U.S. spot Bitcoin ETFs launched in early 2024, they quickly became the main driver of one of the strongest bull runs in crypto history.
During this period, Bitcoin surged from around $40,000 to a peak of $126,000, rising more than 220%. This rally was largely driven by how easy these ETFs made it for big investors to buy Bitcoin.
But in 2026, the situation has changed.
One way to see the damage is through the average buying price of ETF investors. Right now, that average is around $84,100. With Bitcoin struggling near $68,000, most ETF holders are sitting on losses of about 20%.
What happened in February?
Though there was a brief moment of hope on the 20th of February, by the 23rd of February, it was clear that selling pressure was still strong.
On the very day, investors pulled out millions, and the selling was not spread evenly. One major signal came from BlackRock’s IBIT ETF, which made up more than half of all outflows.
VanEck’s HODL ETF was the only one to see fresh money, with $6.4 million in inflows. This suggests that a small group of investors believes prices below $70,000 are a good buying opportunity. However, for now, their buying is too small to change the overall trend.
On the same day, Ethereum [ETH] ETFs also faced heavy selling. In just one day, $49.5 million was left from these funds.
Most of that came from BlackRock’s ETHA, which alone saw $45.4 million in withdrawals. Smaller outflows were also seen from VanEck and Fidelity.
A shift is happening under the wraps
However, not everything is falling apart.
While Bitcoin and Ethereum ETFs are losing money, Solana [SOL] ETFs are seeing fresh inflows. On the 23rd of February, Bitcoin lost hundreds of millions, and Solana funds gained $8 million. Most of this came from Bitwise’s BSOL, which brought in $6.3 million.
Meanwhile, Ripple [XRP] ETFs are showing no movement at all. On both the 20th and 23rd of February, there were zero net inflows or outflows. This suggests XRP investors are waiting on the sidelines, unsure of the direction of the market.
Therefore, as 2026 continues, the key signal to watch is not just price, it is ETF flows.
Lastly, for Bitcoin and Ethereum to recover strongly, the current selling streak must slow down and eventually stop. All in all, the next phase will depend on whether selling dries up or accelerates further.
Final Summary
- Six consecutive weeks of ETF outflows with a few days of exceptions show this is not panic selling; it is a sustained shift in behavior.
- BlackRock’s large outflows signal that even the strongest institutional hands are not immune to market stress.
