Bitcoin ETF Outflows Streak Persists While Ethereum ETFs Run Neutral

• Bitcoin ETFs have seen almost $500 million in exits since Aug. 27.
• Ethereum ETFs recorded their first-ever day of neutral flows.
• September is historically the worst month for Bitcoin’s market performance.

U.S. spot Bitcoin (BTC) and Ethereum (ETH) exchange-traded funds (ETFs) flows are struggling to maintain bullish momentum as the crypto markets face deepening uncertainty.

Bitcoin ETFs

Data provided by SoSoValue shows that  Bitcoin ETFs have seen their fourth consecutive day of net outflows, with five of twelve funds collectively shedding $175.67 million last Friday, Aug. 30.

Outflow superstar, the Grayscale Bitcoin Trust (GBTC), has posted $70.22 million in net outflows.

After a brief period of particularly low outflow rates, which suggested the fund may be in recovery, GBTC exits are seemingly back on track.

Unfortunately, this means it’s now just $150 million away from having a cumulative net outflow of $20 billion.

The ARK 21Shares Bitcoin ETF (ARKB) saw a sizeable $65.05 million in net outflows, though this barely puts a dent in its $2.31 billion of cumulative inflows.

The Bitwise Bitcoin ETF (BITB) saw $16.38 million in outflows, which dragged its net inflow under $2 billion.

Fidelity’s Wise Origin Bitcoin Fund (FBTC) saw $12.88 million in exits, again a drop in the ocean for the fund’s $9.83 billion cumulative inflows.

Finally, the Invesco Galaxy Bitcoin ETF posted $11.14 million in exits, marking one of the few days of net outflows for the fund.

Ethereum ETFs

Looking at Ethereum ETFs, Aug. 30 marks the first day since the launch of all funds posted net neutral flows.

For reference, the closest Bitcoin ETFs ever came to posting neutral flows across the board was on July 31, 2024, when funds saw net inflows of $298,930.

Fittingly, this was one of the rare days that GBTC saw neutral flows.

This argument has been made before, but it is worth considering that if you removed ETHE’s $2.65 billion in net outflows, Ethereum ETFs have collectively pulled around $2 billion in net inflows since launch.

It’s a matter that has confounded both BTC and ETH ETF markets, as Grayscale’s unstoppably huge outflows are having a disproportionately negative sway on their flow results.

BTC and ETH Price

Arguably, the temperature of the crypto market overall isn’t inspiring for investor confidence at this current time.

With BTC failing to hold the $60,000 level and ETH trading sideways in the $2,500 region, the markets are tepid at best.

With all the negativity behind us, there is also the historical precedent of September, aka Redtember, being the worst month for BTC.

According to optimists, this is where the fun really begins.

With a potential breakout some weeks away, it will be interesting to see how the curse of Redtember impacts BTC and ETH ETF flows.

Conversely, there’s a chance that ETF flows will have a steadying influence on the market and dampen this month’s ‘almost inevitable’ price decline.

About the Author

Eddie Mitchell

Eddie has been writing news and content primarily for crypto news and industry players over the past seven years. With an eye for the bigger picture, Eddie prefers to investigate the broader implications of a story, as well as explore the weird and wonderful world of crypto. He believes blockchain has already changed the world, but observes the space overall with a skeptical and adoring eye.

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