Shock! Massive US Investors Dump Bitcoin ETFs: Who’s Selling and Why?

It seems the big players in the US have had enough of Bitcoin ETFs by the end of 2025. The data shows that the sell-off wasn’t as dramatic as the whole market running for the hills, but certain groups definitely pulled the trigger.

According to data from Bloomberg Intelligence – you know, the analysts who actually crunch numbers – the 13F filers, those are the wealthy institutions who need to report their assets to the SEC every quarter, were busy dumping Bitcoin ETFs in Q4 2025, offloading nearly $1.6 billion worth. Quite the ‘oops, maybe we should’ve held on’ moment.

So, what exactly did these 13F filers do with all those shiny Bitcoin ETFs in Q4, you ask?

Drumroll… they sold them, obviously! The two heavy hitters in this game, Advisors and Hedge Funds, were leading the charge in this beautiful exit. In total, they sold ETF shares equal to about 25,000 Bitcoin in Q4 2025.
– James Seyffart (@JSeyff) February 24, 2026

It was mostly the investment advisors and hedge funds that dropped the biggest chunks. Shocking, right? The ones holding the most Bitcoin ETFs are the ones most likely to bail. A real ‘I’ve seen enough’ scenario.

13F Filers Were Busy Selling Their Bitcoin Shares

For the uninitiated, 13F filers are large US asset managers – typically with over $100 million in assets – who must report their holdings every quarter. And according to their filings, their Bitcoin ETF holdings in Q4 were noticeably lower than in Q3. This isn’t a case of them selling Bitcoin on exchanges directly, just their ETF shares. No need to panic just yet.

This might explain why Bitcoin has been struggling to break free from its downward spiral, even after a few desperate, half-hearted rallies. ETF flow data is pretty clear – outflows, outflows, and more outflows, with February seeing a few days that even made the most optimistic Bitcoin fans cringe.

So, Who’s Throwing Bitcoin Overboard?

The breakdown is clear as day. The groups responsible for the largest net reductions are:

  • Investment Advisors: A cool -21,831 BTC.
  • Hedge Fund Managers: Around -7,694 BTC.

It’s not just the hedge funds and advisors pulling back, though. Other categories like brokerages and banks also decided to trim their Bitcoin ETF holdings. Looks like they’re not the only ones with doubts.

But, in a surprising twist, a few brave souls – holding companies and some government-backed entities – decided to up their Bitcoin ETF holdings. It’s a mixed bag, people.

Let’s not get carried away, though. This doesn’t mean every institution is suddenly a Bitcoin bear. Many of these big players use Bitcoin ETFs for things like hedging, arbitrage, or just short-term plays, not all of them are in it for the long haul.

Still, the writing on the wall is hard to ignore. The big-money folks are pulling back, and it’s no coincidence that Bitcoin’s ETF outflow trend has followed this pattern. Without a real shift in ETF flows, Bitcoin’s “relief rally” could be nothing more than a brief blip, not a genuine recovery.

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2026-02-25 04:21