Bitcoin Bears Blink: ProShares UltraShort Fund Sees Notable Investor Pullback
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The ProShares UltraShort Bitcoin ETF, SBIT, recorded outflows of $3.12 million on January 07, 2026, a meaningful redemption for a leveraged bearish product targeting Bitcoin. The move trimmed the fund’s assets under management to $116.3 million, with the latest flow representing roughly 2.7% of AUM—a sizeable vote of reduced conviction from investors who had been betting on further downside in the crypto giant.
The related asset, BTC-USD, is currently trading at $90,635.99. Despite a sharp three-month slide of about 19.7%, the short-term technical picture remains pessimistic, with a 1-day signal still flashing Sell. The combination of sustained negative momentum in Bitcoin’s price and simultaneous withdrawals from a bearish ETF suggests that traders may be reassessing how aggressively they want to maintain leveraged short exposure, rather than signaling renewed optimism on the underlying asset.
For ProShares’ inverse product, the outflows could reflect profit-taking after Bitcoin’s multi-month drawdown, risk reduction ahead of potential volatility catalysts, or a rotation into less leveraged vehicles. With Bitcoin still under pressure but positioning in bearish funds now beginning to lighten, the market appears to be entering a more cautious phase in its sentiment cycle toward digital assets.
For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.