The crypto investment sentiment has recently witnessed a noteworthy turn with massive outflows and inflows in ETFs linked to Ethereum and Bitcoin. As per Spot On Chain, a well-known on-chain analytics platform, the Bitcoin ETFs experienced a slight inflow of nearly $4.5M however Ethereum ETFs witnessed a big outflow of up to $79.3M on September 23. The outflow in Ethereum was mainly due to huge sell out by Grayscale. The analytics provider took to social media to reflect on the current market status of these ETFs.
Spot ETF: $4.5M to $BTC and $79.3M to $ETH Sep 23, 2024 The ETH ETFs just experienced the largest single-day net outflow since July 29!Follow @spotonchain and check out the latest updates about #Bitcoin and #Ethereum #ETFs via https://t.co/MQC1VCBl4V pic.twitter.com/CvxA1IkrYa
— Spot On Chain (@spotonchain) September 24, 2024
Bitcoin ETFs See a Slight Inflow of $4.5 Million
The overall net inflows of Bitcoin ETFs have reached just $4.5 million. Particularly, Grayscale ($GBTC) saw an enormous outflow of $40.3 million. Nonetheless, it was the only Bitcoin ETF that recorded outflows. Other than that, Fidelity ($FBTC), BlackRock ($IBIT), and Grayscale Mini ($BTC) experienced slight inflows. Fidelity’s Bitcoin ETF saw $24.9M in inflows while BlackRock’s Bitcoin ETF witnessed an inflow of $11.5M. Grayscale Mini ($BTC) gained the least inflows of just $8.4M.
Contrarily, just 2 Ethereum ETFs recorded flows on the 23rd of September. Bitwise ($ETHW) remained effective in getting $1.3M in terms of inflows. Nevertheless, Grayscale ($ETHE) beheld an immense outflow of $80.6 million. As a result of this, the cumulative outflows of the Ethereum ETFs have touched $79.3M. The rest of the 7 Ethereum ETFs saw no flows at all.
Massive Grayscale Outflow of $80.6 Million Increases Overall ETH ETF Outflows to $79.3M
The analytics firm mentioned that the significant drainage from Ethereum ETFs signifies the biggest single-day net outflow since July 29. The opposing movements in the case of ETF investments mirror a wider trend in the crypto market. In this respect, Bitcoin keeps on operating as a more stable and safer asset in comparison with Ethereum.
While investors respond to regulatory developments and macroeconomic conditions, Bitcoin is getting substantial attention as a hedge against inflation. Keeping that in view, this huge swing in inflows of both the top crypto ETF platforms raises concerns about the wider market dynamics. According to Spot On Chain, such a big capital movement from Ethereum may pave the way for short-term heightened volatility.
