Some traders are opting to directly short IBB where “15 percent of all the shares outstanding — $665 million worth — are short,” according to Bloomberg.

While investors are departing biotech ETFs, that does not mean they are discarding all health care ETFs. Already one 2014 most prolific asset-gathering groups among sector funds, broader and non-biotech niche health care ETFs have continued seeing inflows even as biotech funds have wilted. [Health Care ETFs Survive Biotech Slump]

For example, the Health Care Select Sector SPDR (NYSEARca: XLV), the largest health care ETF, has pulled in almost $562 million since Feb. 28. The $718.1 million iShares U.S. Medical Devices ETF (NYSEArca: IHI), which printed several new all-time highs last week, has added more than $30 million in assets since the end of February.

iShares Nasdaq Biotechnology ETF