Bitcoin‼️ ETFs‼️($BTC $ETH ) Show Resilience Despite Record Outflows
Recent data reveals that U.S. spot Bitcoin ETFs faced their worst streak of net outflows, totaling $1.2 billion between August 27 and September 6. Although this may seem alarming, experts suggest it's part of the natural growth cycle for ETFs.
Eric Balchunas, senior ETF analyst at Bloomberg, explained that such fluctuations are typical, stating, "Nothing goes up in a straight line." The outflows represented just 3% of total assets in these funds, which still hold $46 billion after the pullback. Balchunas emphasized that a concerning outflow would be in the range of 15%-20%.
The funds saw strong initial inflows, accumulating $12 billion in their first two months. However, the pace has slowed, with just $4 billion added over the next six months, according to Bianco Research. Despite this, Balchunas praised the ETFs' ability to limit outflows during challenging times, pointing to previous market sell-offs where the funds quickly returned to net inflows.
While the recent outflows may raise eyebrows, experts believe the long-term potential of Bitcoin ETFs remains intact, demonstrating the resilience of the category during turbulent periods.#CPI_BTC_Watch #ETH🔥🔥🔥🔥 #binanance #BNBChainMemecoins #CryptoMarketMoves