Bitcoin and Ethereum ETFs Record Weekly Outflows of $706M as Investor Caution Rises
On the 6th of September, the US market of exchange-traded funds saw another day with huge outflows. Spot On Chain, a famous on-chain analytics provider, revealed that the Bitcoin ETFs witnessed a massive $170M in outflows while Ethereum ETFs recorded $6M in withdrawals. The analytics platform took to its official X account to offer insights into the present outlook of the ETF market.
🚨 US #ETF 06 SEP: 🔴$170M to $BTC and 🔴$6M to $ETH
🌟 BTC ETF UPDATE (final): -$170M
• None of the US Bitcoin ETFs have seen any inflows for 2 consecutive days.
• The total flow for the week is -$706M with outflows on everyday!
🌟 ETH ETF UPDATE (final): -$6M
•… pic.twitter.com/HS5JBsTB6s
— Spot On Chain (@spotonchain) September 7, 2024
Bitcoin ETFs See $170M in Outflows as the Market Downturn Continues
Spot On Chain mentioned that the enormous outflows of $170M from Bitcoin ETFs denote a continuous downward trend. Particularly, Fidelity ($FBTC) dominated the Bitcoin ETFs in terms of outflows. The ETF recorded a net outflow of nearly $85M. Following that, Grayscale ($GBTC) saw the withdrawals of almost $52.9M. Subsequently, Bitwise ($BITB) recorded $14.3M in outflows. ARK 21Shares ($ARKB) and Grayscale Mini ($BTC) recorded $7.2M and $5.5M in outflows. Valkyrie ($BRRR) beheld the least outflows of $4.6M.
These outflows mark the 2nd consecutive day when no inflows have taken place at all in the case of $BTC ETFs. The cumulative outflow for $BTC ETFs during the entire week has now reached a large $706M spot. This continuous trend of withdrawals has led to several apprehensions regarding the short-term sentiment. Hence, the investments in US Bitcoin ETFs are declining to a great extent.
Ethereum ETFs Witness Another $6M Leaving the Market Amid a Shift in Market Sentiment
Ethereum ETFs additionally experienced notable withdrawals of $6M, although smaller in comparison with Bitcoin ETFs. The only $ETH ETF going through an outflow on September 6 was Grayscale (ETHE). The exchange-traded fund recorded a loss of 10.7M in total. This outflow overwhelmed the inflows seen by BlackRock (ETHA). The only $ETH ETFs witnessing an inflow added $4.7M. Additionally, the weekly outflows of $ETH ETFs have reached $91.1M.
The continuous ETF outflows of Ethereum and Bitcoin during this week signify a wider market retreat, especially in the case of the US ETF industry. Nonetheless, the market onlookers have high hopes for future developments. According to analysts, this downturn could also denote a consolidation period while investors are reevaluating the portfolios thereof. Irrespective of the provisional ETF downturn, both $ETH and $BTC have an optimistic long-term outlook.