Cas Abbé Highlights $667 Million Bitcoin ETF Inflows and Whale Withdrawals as of May 20

Retail investors stumbled over recent bond market fluctuations, but institutions took the opportunity to buy the dip. Cas Abbé, Web3 Growth Manager at Binance Affiliate Institutions, said on X, “Institutions bought the dip again.” On May 19, Bitcoin ETFs bought 6,325 BTC worth $667.44 million, their largest single-day purchase in three weeks. This strong inflow shows that professional investors have changed ideology and remain unfazed by short-term market volatility. While retail participants feared a deeper crash, institutions quietly accumulated Bitcoin. Abbé said, “I’ve said this 1,000 times and I’ll say it again: Never sell your coins in panic.”

Whale Withdrawals Hint at Bullish Outlook

Alongside Bitcoin ETF inflows, on-chain data shows large-scale whale withdrawals from exchanges. It is often interpreted as a sign of long-term holding. According to BlockBeats, a major whale withdrew 1,350 BTC, worth approximately $141.91 million, from a centralized exchange. The wallet now holds a total of 20,723 BTC, valued at $2.19 billion. In recent days, multiple whales have withdrawn over 3,000 BTC from Binance and other platforms. This trend signals increasing accumulation from high-net-worth investors during market dips. Whale withdrawals are seen as bullish indicators because they suggest coins are moving into cold storage rather than being sold.

ETF Activity Reveals Diverging Strategies

Bitcoin ETF activity last week reflected strong institutional momentum. The funds recorded a net inflow of $603.74 million, marking the fifth consecutive week of positive momentum. Wednesday, May 14, stood out with $319.56 million in a single-day inflow. Blackrock’s IBIT dominated with an inflow of $841.76 million, far ahead of other funds. Grayscale’s Bitcoin Mini Trust added $39.84 million, while Vaneck’s HODL ETF brought in $7.32 million.

However, not all funds posted gains. Fidelity’s FBTC saw outflows of $122.07 million, Grayscale’s GBTC lost $72 million. Moreover, ARKB experienced $68.91 million in net redemptions. This mixed ETF activity shows a shift in preferences. While some asset managers trimmed positions, others doubled down on alternative products. These dynamics reflect evolving strategies in response to Bitcoin’s short-term volatility.

Asset Managers Adjust Bitcoin ETF Holdings

Recent regulatory filings show several high-profile asset managers revised their Bitcoin ETF holdings amid Q1’s 12% price decline. Millennium Management LLC slashed its stake in the iShares Bitcoin Trust ETF by 41%, reducing it to 17.6 million shares. It also exited its position in Invesco’s Galaxy Bitcoin ETF. Interestingly, the firm increased its exposure to two ETFs: ARK 21Shares Bitcoin ETF and Grayscale’s Bitcoin Mini Trust. Similarly, Brevan Howard trimmed its iShares ETF stake by 15.6%. These strategic moves suggest managers are rotating their portfolios toward ETFs with higher growth potential or lower fees.

Ethereum ETFs also showed similar patterns. Blackrock’s ETHA topped the list with $66.04 million in inflows. Grayscale’s Ether Mini Trust followed with $15.91 million. On the other hand, Fidelity’s FETH and Grayscale’s ETHE faced outflows of $20.16 million and $26.22 million. The recent surge in Bitcoin ETF inflows and whale withdrawals highlights rising institutional confidence in the crypto market. In hindsight, Abbé’s warning rings true.