‘Whale’ investors show signs of fleeing from BTC

Data from Nasdaq shows that BlackRock’s Bitcoin spot ETF, code IBIT, set a “crazy” record when more than 284 million fund certificates were traded in the February 5 session. This number is equivalent to a notional value exceeding 10 billion USD. Implied value is often used to value the underlying asset in a derivatives transaction, which can be the total value of a position, the amount of value that a position controls, or the amount agreed upon in a contract.

By comparison, this volume far exceeded the old record of 169.21 million certificates set on November 21, 2025, by 169%. The end of November last year was the period when Bitcoin (BTC) slid long after reaching its peak in early October 2025.

The record trading volume came in the context of IBIT price plunging 13% to below 35 USD, the lowest level since mid-October 2024, bringing the year-to-date decline to 27%. Previously, the price of fund certificates peaked at 71.82 USD in early October 2025.

According to market research platform SoSoValue, in the February 5 session, the fund recorded a net withdrawal of 175.33 million USD, accounting for about 40% of the total net withdrawal of 434.11 million USD of 11 funds on the same day.

IBIT is currently the largest listed Bitcoin fund in the world, holding 761,915 Bitcoin, as of the end of the session on February 5. This fund is designed to closely reflect the spot price of the market’s largest cryptocurrencies. Recently, Bitcoin price has weakened sharply, sometimes falling to nearly 60,000 USD during the February 5 session. IBIT has long been favored by the world’s leading financial institutions and organizations as an alternative investment channel, helping to access cryptocurrency through managed and supervised products.

The combination of record trading volume and plummeting prices is often seen as a sign of capitulation – when long-term investors give up and sell at a loss. This often marks the climax of a bear market sell-off, and can usher in a long and difficult bottoming process.

Movements in the IBIT options market in the February 5 session also reflected similar sentiment. According to data from market analysis platform MarketChameleon, long-term put options – a hedging tool for bearish price scenarios – are trading at record high fees, exceeding call options. A sharp spread in put options is often a sign of extreme fear in the market.

However, Bitcoin price in today’s session tends to recover. The world’s largest cryptocurrency soon regained the mark of 70,000 USD per unit as soon as the clock turned to February 7 (Vietnam time). After that, Bitcoin sometimes increased to nearly 71,700 USD, recovering about 19% compared to yesterday’s bottom of 60,000 USD. However, since noon until now, BTC has adjusted again, currently trading around 68,000 USD.

According to Paul Howard, Director of cryptocurrency trading company Wincent, Bitcoin has returned to prices last seen 14 months ago. He said BTC and ETH trading volumes have also increased to their highest levels in more than two years, which typically signals a short-term bounce.