On Thursday, October 3, U.S. spot Bitcoin exchange-traded funds (ETFs) faced a third consecutive day of outflows, with a total of $54.13 million exiting the market. ARK Invest and 21Shares’ ARKB ETF was the leader in negative flows, experiencing a $57.97 million outflow, following a $60.3 million loss the day before.
Despite these short-term losses, ARKB remains solid with overall net inflows of $2.51 billion. Fidelity’s FBTC was also significantly affected, seeing $37.21 million in outflows, though it continues to have a strong total of $9.93 billion in net inflows. On a brighter note, BlackRock’s IBIT had a positive day, recording $35.96 million in net inflows.
Meanwhile, Ethereum-based ETFs also experienced a day of losses, with $3.2 million in net outflows. Grayscale’s ETHE suffered the biggest hit, with a $14.7 million outflow, while Fidelity’s FETH saw $600,000 in losses. However, BlackRock’s ETHA ETF showed a rare positive performance in the Ethereum space, gaining $12.1 million in inflows.
The overall trading volume in Ethereum ETFs dropped from $197.82 million to $115.66 million, reflecting the broader trend of outflows. Since their launch in July, these ETFs have seen a cumulative outflow of $561.05 million, highlighting the challenges they face in attracting investor confidence.
Despite Outflows in U.S. Spot Bitcoin and Ethereum ETFs, Broader Cryptocurrency Market Shows Recovery Signs
Despite these negative movements in both Bitcoin and Ethereum ETFs, the wider cryptocurrency market showed signs of recovery. The market capitalization rose by 2.32%, reaching $2.14 trillion. Bitcoin, in particular, bounced back from a brief dip below $60,000, trading at $61,394, a 1.20% increase from the previous day.
This recovery helped Bitcoin retain its dominant position in the crypto market, with a market cap of $1.21 trillion, representing 56.9% of the total market. Ethereum also saw a slight gain, rising by 1.40% to approximately $2,381, and maintaining a market cap of over $286.52 billion.
While Bitcoin ETFs saw a decline in daily trading volume, dropping to $1.13 billion from the previous day’s $1.66 billion, the total net inflows in Bitcoin ETFs remain substantial. These funds have accumulated $18.47 billion in inflows overall.
Some ETFs, like Bitwise’s BITB and Invesco’s BTCO, posted modest gains with inflows of $2.65 million and $2.44 million, respectively. Grayscale’s GBTC, on the other hand, saw no movement in its flows, indicating that some ETFs are still able to attract capital despite the broader negative trends in the sector.
Although U.S. spot Bitcoin and Ethereum ETFs suffered significant outflows on Thursday, the broader cryptocurrency market is showing signs of recovery. Bitcoin and Ethereum prices have slightly rebounded, and Bitcoin’s market dominance remains strong.
Positive inflows into specific funds like BlackRock’s ETFs suggest that there is still investor interest in both Bitcoin and Ethereum, even amid the current market volatility and the recent string of outflows in these ETFs.
