Bitcoin ETFs reversed course in a day. Who is buying when the funds sell?

U.S. spot Bitcoin funds have swung from $524.8 million in net inflows on October 21 to $635.6 million in outflows on October 22, followed by another $137.9 million in withdrawals on October 23. Summary U.S. spot Bitcoin ETFs took in $524.8 million on October 21 and lost $635.6 million the next session, according to Farside. Another $137.9 million left the funds on October 23, based on Farside’s latest displayed fund entries. The October 19 to 23 total remained positive at $301.2 million despite two consecutive withdrawal days. BlackRock’s IBIT and Fidelity’s FBTC accounted for $471.6 million of the October 22 outflow. The SEC has permitted in-kind Bitcoin redemptions since July 2025, so an ETF withdrawal need not trigger an immediate fund sale. Farside Investors’ fund-by-fund table shows the turn across BlackRock, Fidelity, Ark Invest and other issuers, but it cannot identify the buyer who took the other side of a Bitcoin sale. An investor can sell an ETF share to another investor without a coin changing hands. A market maker can carry shares for a time, or an authorized participant can redeem a block of them for cash or Bitcoin. Only some of those routes require an immediate sale ...