The enthusiasm surrounding the launch of spot Bitcoin exchange-traded funds (ETFs) in the United States appears to be waning, as these investment vehicles continue to experience significant outflows. Over the past ten days, the total outflows from Bitcoin ETFs have exceeded $1 billion, with the Grayscale Bitcoin Trust (GBTC) alone accounting for nearly $18.5 billion in outflows since its inception.

On Monday, June 24th, the nine spot Bitcoin ETFs recorded a collective outflow of $174.5 million, with no single fund registering any inflows. The Grayscale Bitcoin ETF saw the largest outflow at $90.4 million, while Fidelity's FBTC suffered the second-biggest blow with $35 million in outflows.

This ongoing sell-off suggests that the initial excitement around the launch of these Bitcoin ETFs has diminished, and institutional investors are becoming increasingly cautious. Last week, Bitcoin investment products recorded a staggering $630 million worth of outflows, further indicating a decline in institutional interest.

Interestingly, while Bitcoin has struggled to maintain its momentum, the US stock market, particularly the Nasdaq index, has continued to show steady gains, extending its year-to-date increase to more than 20%. This divergence highlights the underperformance of Bitcoin compared to the broader equity market.

To reignite the Bitcoin price rally, the market would likely need a strong catalyst in the form of increased liquidity or a potential shift in the Federal Reserve's monetary policy. Any signal of a Fed pivot could lead to a strong reversal on the upside for the leading cryptocurrency.