Friday’s Fund Redemptions Erased Four Days of Bitcoin Buying in One Session

Frank Joaquin

Date: October 31, 2026

U.S. spot Bitcoin funds lost $643.2 million on 30 October, more than reversing the $440.8 million they had gathered over the previous four sessions. The five-session balance ended at negative $202.4 million. The completed figures provide the first full U.S. fund session after the Binance hot-wallet breach began just after Thursday’s market close. Farside Investors

The original signal is not simply that money left Bitcoin products. The composition changed from narrow inflows to broad redemptions. BlackRock’s IBIT lost $233.7 million, Fidelity’s FBTC $201.0 million, ARK 21Shares’ ARKB $129.5 million, Grayscale’s GBTC $53.3 million and Bitwise’s BITB $25.7 million. No Bitcoin fund recorded an inflow. Four days of buying had depended heavily on IBIT, while Friday’s selling reached five separate products.

Ether funds never shared Bitcoin’s earlier rebound. They lost $155.7 million on Friday and $431.4 million across all five sessions from 26 through 30 October. BlackRock’s ETHA accounted for $76.6 million of Friday’s withdrawal, followed by Grayscale’s smaller ETH fund at $34.1 million, ETHE at $21.5 million and ETHB at $19.5 million.

Solana funds were also negative, losing $10.8 million on Friday and $71.6 million over the five-session window. Across the three asset groups, Friday’s net withdrawal was $809.7 million, Token Recon’s calculation from the separate Farside tables.

The first post-breach session was broad, not conclusive

The timing makes Friday different from Thursday. The Binance drain began at approximately 20:05 UTC on 29 October, five minutes after the U.S. cash session closed. The 30 October fund table is therefore the first completed daily record able to reflect investor decisions after the event became public.

That timing does not establish motive. ETF creations and redemptions do not identify why an allocator acted, and Friday also included a sharp technology-stock selloff and continued risk reduction after the Federal Reserve meeting. It would be equally wrong to attribute every redemption to Binance or to treat the fund outflow as proof of a lasting institutional exit.

Breadth is the stronger evidence. On 28 October, IBIT provided $136.0 million of a $137.3 million Bitcoin inflow. On Friday, five funds redeemed shares and none offset them. A one-fund subscription channel became a multi-fund withdrawal day.

Ether’s losing streak is structurally weaker

Bitcoin’s four-session inflow run at least created a buffer before Friday. Ether had no such cushion. Its daily flows were negative by $88.6 million, $60.2 million, $21.4 million, $105.5 million and $155.7 million from Monday through Friday.

The acceleration matters because it rules out describing the earlier slowing outflow as a reversal. Ether’s Friday redemption was the largest of the five-day sequence, and the losses reached multiple products. Solana’s smaller funds were also negative each day of the week.

Market prices and fund flows measure different things

Bitcoin traded near $77,000 after touching roughly $76,400 during the stress window. Futures liquidations had already climbed above $1.5 billion in the 24 hours after the breach. Those figures describe continuous leveraged positioning. ETF flows summarize completed share creation and redemption activity for a U.S. trading session. coindesk.com

The datasets can move together without proving a direct transfer between them. A derivatives trader can be liquidated within minutes, while a fund redemption settles through an authorized participant. The common conclusion is that Friday’s risk reduction reached both fast leverage and slower regulated products.

TOKEN RECON ASSESSMENT

Friday converted a fragile Bitcoin inflow streak into a negative week and did so with broader fund participation than the preceding buying. Ether’s fifth consecutive withdrawal and Solana’s uninterrupted negative week show that the risk reduction was not confined to one product.

The confirmation threshold is now straightforward. If Bitcoin funds return to positive flows across several issuers after the weekend, Friday may prove to be an event-driven reset. Continued multi-fund redemptions would show that the four green sessions were a concentrated pause inside a broader allocation retreat. ETF data cannot prove the cause, but it can show whether the breadth persists.