Spot bitcoin #ETF saw a significant net inflow of capital yesterday, potentially signaling an upcoming rally for #bitcoin . On the other hand, #ethereum ETFs ended the day slightly in the red.
Significant Capital Inflows into BTC ETFs
Investors allocated more than $360 million to US-based bitcoin spot ETFs yesterday, marking the highest net inflow in over two months. This move comes as demand for these financial products continues to grow, which could have a substantial impact on the price of bitcoin.
Investors have been in a buying frenzy in recent weeks. Since September 6, there have only been two trading days with net outflows out of 14. Yesterday culminated with a net inflow of $365.7 million, the highest since July 22.
Leading ETFs
Among the individual ETFs, Ark Invest’s ARKB led with an inflow of $113.8 million, followed by BlackRock’s IBIT ($93.4 million), Fidelity’s FBTC ($74 million), and Bitwise’s BITB ($50.4 million). Conversely, Grayscale’s GBTC experienced a minor outflow of $7.7 million. The world’s largest bitcoin ETF, IBIT, saw its total assets under management (AUM) rise to over $21.3 billion.
These inflows coincided with an increase in BTC’s price. Since last Wednesday, when the US Federal Reserve announced a 0.5% interest rate cut, investors have been pouring money into ETFs. During this period, bitcoin’s price rose from $59,300 to nearly $66,000 today, marking an 11% increase in just over a week.
Bitcoin/Price/Chart 27.09.2024. Source: TradingView
Ethereum Spot ETF Situation
In contrast to bitcoin ETFs, spot Ethereum ETFs have not enjoyed the same success on US exchanges. However, there have been some positive signs.
After significant withdrawals during the week of the Fed’s rate cut, the situation worsened on September 23, with almost $80 million leaving the funds. However, on September 24 and 25, net inflows of $62.5 million and $43.2 million were recorded, improving the weekly outlook.
Nevertheless, yesterday saw another minor net outflow for Ethereum ETFs ($0.1 million). Most of the outflow came from Grayscale’s fund (-$36 million), and neither BlackRock’s ETHE nor Fidelity’s FETH ($15.3 million and $15.9 million, respectively) were able to offset the losses.
At the same time, however, ETH's price rose by more than 14% over the week and is now above $2,660.
Notice:
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