Bullish: Bitcoin ETFs Still Hold Nearly 90% of Inflows Despite Price Crumble

As bitcoin trades below $73,000, U.S. spot BTC ETFs are facing their largest paper losses since launching in January 2024. Despite the drawdown, data shows these ETFs still hold nearly 90% of their bitcoin, signaling limited capitulation.

Bloomberg Intelligence analyst James Seyffart shared the figures in a detailed thread on X using Bloomberg Intelligence data. His analysis focuses on ETF cost bases compared with bitcoin’s price during the ongoing market slide.

Have seen a few charts out there with similar data (namely from @intangiblecoins & @biancoresearch), but here’s my spin on the data. Bitcoin ETF holders in aggregate are sitting on their biggest losses since the ETFs launched in Jan 2024 thanks to Bitcoin’s price collapse. pic.twitter.com/xFNkU7wOwX

— James Seyffart (@JSeyff) February 4, 2026

ETF Cost Bases Diverge

Charts in the thread show bitcoin’s price plotted against both net and gross buy-only ETF cost bases. The net cost basis stands near $82,405 per BTC, while the gross buy-only basis sits higher at roughly $83,655.

The gap reflects purchases made at elevated prices earlier in the cycle. As BTC trades lower, the difference has translated into average unrealized losses of about $7.31 billion across the ETFs.

Seyffart noted that the gap between price and cost basis is now the widest since the products launched. The move highlights how recent price weakness has intensified pressure on ETF holders.

Nearly 90% of ETF Inflows Still Held

Another chart shows the ETFs experiencing their worst percentage pullback since inception. The drawdown sits near 41.9% from peak levels, reflecting a decline that began in October 2025.

Bitcoin’s slide below $73,000 pushed the pullback to its deepest point so far. Seyffart described the move as the sharpest correction the ETFs have faced since launch.

Despite the steep drawdown, flow data suggests investors are largely holding their positions. Net outflows since October 10, 2025, exceed $7 billion, a small figure compared with peak inflows near $63 billion. Notably, cumulative flows since launch remain around $55.6 billion, meaning roughly 88.6% (nearly 90%) of peak ETF inflows are still in the funds. This indicates that most capital has stayed in place despite prolonged price weakness.

Differences in buying behavior across issuers help explain the varied impact. James Van Straten noted that Fidelity’s FBTC holds the lowest cost basis among major ETFs. He attributed this to steadier accumulation rather than heavy inflows at market highs. Seyffart echoed the point by highlighting the trade-off between rapid inflows and disciplined buying.

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