US Spot Bitcoin ETFs Shed $1.16 Billion in Three Sessions, but Bitwise Calls It Short-Term Risk-Off

US spot bitcoin ETFs recorded $1.16 billion in net outflows over three trading days following Binance’s $6.3 billion hack, Cointelegraph reported on November 4, citing SoSoValue data. Outflows came to $643 million on Friday, $399 million on Monday and another $116 million on Tuesday, leaving net flows for 2026 at roughly $153 million negative.

André Dragosch, head of research at Bitwise, does not read the selling as a shift in institutional appetite. “I do think it’s related to a short-term risk-off environment rather than a structural change in institutional sentiment,” he said. He pointed to a Bitwise survey of 15 institutions, none of which had cut bitcoin ETF exposure during the bear market, and to regulatory filings showing that most institutional categories except hedge funds largely held their positions. Retail investors still own most ETF shares and tend to react more strongly to volatility.

Dragosch also addressed custody worries raised by the hack. The Binance incident involved hot wallets, while institutional funds held at Coinbase Custody sit in cold storage that is not connected to the internet, he noted.

Sentiment has improved slightly. The Crypto Fear & Greed Index rose to 34 from 26 on Monday but remains in “Fear” territory, while bitcoin gained about 1.6% over 24 hours to trade near $78,000. Whether flows stabilize after the midterm result will be a key test for the rest of the week.

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Sources:

• Cointelegraph: Bitcoin ETFs lose $1.16B as Bitwise calls selling short-term

• SoSoValue: US BTC spot ETF data