US spot Bitcoin ETFs posted a $648.64 million net outflow on May 18, one of the largest single-day redemptions of 2026, as traders took profits on positive US regulatory news.
The outflow, which represents less than 1 percent of the more than $65 billion in year-to-date inflows, contrasts sharply with Japanese financial giant SBI Group's plan to launch crypto ETFs with a $31.5 billion AUM target.
US spot Bitcoin exchange-traded funds recorded $648.64 million in net outflows on May 18, 2026, as Bitcoin’s price fell from roughly $77,800 to below $77,000 in a classic “sell the news” reaction to regulatory progress in Washington.
"The overarching trend continues to be historically favorable," Bloomberg ETF analyst Eric Balchunas noted, adding that spot BTC ETFs have "substantially exceeded initial market forecasts" for inflows, according to Yahoo Finance.
The move was driven by heavy redemptions from major funds, with BlackRock’s iShares Bitcoin Trust (IBIT) shedding $448 million alone, per CoinGlass data. The daily figure came after a net outflow of roughly $1 billion in the prior week, snapping a six-week inflow streak, yet year-to-date net inflows remain above $65 billion.
The short-term profit-taking in the US market creates a stark contrast with long-term structural developments in Asia. In Japan, financial giant SBI Group is building the infrastructure for Bitcoin and Ethereum ETFs that could tap into the nation's $14.8 trillion household savings market.
The market reaction that erased over $126 billion in Bitcoin’s market capitalization was triggered by the CLARITY Act advancing to a full Senate vote. Analysts described the event as a textbook example of investors accumulating ahead of a catalyst and then closing positions once the news becomes public. The selling pressure pushed Bitcoin to test its $76,700 support level.
According to market analysts, the next few weeks are critical. In a bullish scenario, if ETF flows reverse to net positive, Bitcoin could recover toward the $82,000–$85,000 range. However, if outflows persist and the price breaks below $76,300, a test of the $69,000–$72,000 range becomes the likely next stop, invalidating the near-term bullish thesis. The key indicator for traders remains the daily ETF flow data from providers like CoinGlass and SoSoValue.
While US traders take short-term profits, Japan is laying the groundwork for a new, regulated wave of demand. SBI Group, in a joint venture with US asset manager Franklin Templeton, has announced plans for crypto ETFs with an ambitious target of attracting $31.5 billion in assets under management within three years of launch.
This development hinges on pending regulatory changes. Japan’s Financial Services Agency is reportedly aiming to enable crypto ETF trading on the Tokyo Stock Exchange by 2028. Crucially, proposed tax reforms could see the rate on crypto gains fall from as high as 55 percent to 20 percent by 2027, aligning it with taxes on stock trading. Should these reforms pass and the ETFs gain eligibility for Japan's tax-favored NISA investment accounts, it would give Bitcoin access to a massive, conservative pool of yen-denominated household savings, creating a second major regulated flow channel during Asian trading hours.
This article is for informational purposes only and does not constitute investment advice.
