US spot bitcoin ETFs concluded the trading week of June 1–5 facing massive financial liquidations, shedding a staggering 1.72 billion dollars in capital. This prolonged institutional exit has officially been logged as the second-largest weekly outflow in the entire history of the asset class on public exchanges. Simultaneously with the flight of Wall Street investors, the benchmark cryptocurrency experienced a devastating price collapse, plunging from roughly 82,000 dollars to the 61,000-dollar threshold over the same period.

The crypto fund sector sustained a more severe blow only once before—approximately fifteen months ago, when the week ending February 28, 2025, marked an all-time record redemption of 2.61 billion dollars. The ongoing negative momentum had been steadily compounding throughout the past month; while funds lost a flat one billion dollars in mid-May, the pace of withdrawals accelerated drastically toward June, culminating in a total drain of 5.4 billion dollars across four consecutive weeks of stagnation. Within the latest five-day session, nearly every single trading day closed deep in the red, and a symbolic net inflow of just 3.05 million dollars on Thursday, June 4, failed to alter the broader bearish reality. This relentless selling pressure caused the total net asset value of bitcoin held by these investment vehicles to shrink from its mid-May peak of 104.29 billion dollars down to the current 75.12 billion.

This extensive institutional unwinding directly collided with a broader spot market correction, pulling the price of bitcoin down to its local cycle low of 59,131 dollars. Measured against its all-time high of 126,199 dollars established on October 6, 2025, the primary digital asset has now surrendered more than half of its valuation, marking a steep 51.02% decline from the peak. The ongoing contraction clearly demonstrates that the robust institutional demand, which previously served as the main engine behind the macro bull run, has completely reversed its course. Ultimately, until the panic-driven redemptions within exchange-traded funds dry up and major strategic buyers step back in, any assertions regarding a definitive market bottom for the premier cryptocurrency remain entirely premature.