Bitcoin Hit by $519M ETF Outflows as Liquidations Top $1.3B

• U.S. spot Bitcoin ETF redemptions reached $519 million over June 2, driven by large withdrawals from BlackRock and Grayscale.
• Forced crypto liquidations surpassed $1.3 billion on June 3 amid deepening institutional selling and shifting liquidity.

On June 3, 2026, CoinDesk reported that Bitcoin dropped to a 24-hour low of $65,708, marking a sharp retreat following coordinated outflows from major U.S. spot Bitcoin ETFs on June 2. Investors redeemed $519 million from ETF products within a single day, primarily from BlackRock’s IBIT ($388.6 million) and Grayscale’s GBTC ($83.5 million), according to SoSoValue.

Ethereum spot ETFs also saw significant redemptions over June 2, losing more than $90 million, which contributed to a risk-off tone across digital assets. This wave of institutional selling on June 2 led to widespread forced liquidations exceeding $1.3 billion in leveraged crypto positions over the subsequent 24 hours, as reported by CoinDesk.

Market sentiment weakened further after Strategy, the largest corporate Bitcoin holder, disclosed its first sale in almost four years on June 3, unloading $32 million worth of Bitcoin. According to Sherwood News, this move from a key player amplified concerns among traders already reacting to deteriorating conditions.

Analysts from K33 Research and on-chain specialist Axel Adler Jr., cited by CoinDesk, identified exhausted buying momentum, negative derivatives activity, and intense ETF redemptions as signs of prolonged market pressure. Additional capital rotation into soaring global equities and AI-themed IPOs has continued to divert liquidity away from digital assets, fueling expectations of ongoing volatility and possible retests of previous lows.

As of June 3, 2026, 11:09 UTC, Bitcoin (BTC) trades at $67,137.17, with a 3.37% decrease in 24-hour trading volume. Ethereum (ETH) trades at $1,881.80, with a 4.89% decrease in 24-hour trading volume, according to CoinMarketCap.