Bitcoin Investors Dump ETPs in May
As stocks raced to new highs in May, many bitcoin investors headed for the exits.
In all, investors sold a net $2.4 billion from bitcoin spot exchange-traded products (ETPs) during the month, the largest monthly net outflow since November 2025 and the third largest since spot ETPs launched in early 2024, according to Glassnode data.
Bitcoin ETP investors may have been lured away by equities, which went on a historic run during the month. Some of these investors may have also simply taken advantage of bitcoin's rally to exit at an intermediate-term high that roughly coincided with the average break-even point for investors, according to Glassnode.
In any case, May marked a reversal after two months of net inflows. Over the past seven months, spot ETP withdrawals have totaled a net $5.6 billion, about 9% of all previous net inflows.
Data source: Glassnode
For illustrative purposes only.
Bitcoin's recent sell-off roughly coincided with funds flowing back to crypto exchange wallets, which could be considered bearish because it often precedes the selling of those coins. (By contrast, outflows from exchanges can indicate coins going back on chain for longer-term storage, which could be considered bullish.) In fact, on May 31, the 30-day net change hit its highest level since late November 2025, as bitcoin's price fell to roughly a six-week low.
Some metrics, however, may point to indifference rather than bearishness. Activity in the perpetual futures market, which is typically dominated by retail traders, has been exceptionally quiet in recent weeks. The average 30-day net change in open interest during the two weeks beginning May 16 was about one-fifth of the past year's average, with no discernible trend. This could be interpreted as a lack of interest among retail traders, at least for the time being.
Technically, the minimal change in open interest could be the result of offsetting flows. But trading volume for all bitcoin futures products also hit long-term lows in recent weeks, indicating a seemingly weak interest among retail traders. In May, average daily futures trading volume fell 59% from a year earlier and was 39% below its previous 12-month average—the lowest level in more than two years.
Data source: Glassnode
For illustrative purposes only.
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