Weekly ETF Recap: Bitcoin Sees Longest Negative Streak, Ethereum Demand Missing – CryptoPotato

The negative trend in spot Bitcoin ETF inflows continued last week, the longest stretch since these products were approved in mid-January.

At the same time, its Ethereum counterpart is still seeing very little activity, with an apparent lack of investor demand and interest.

Bitcoin ETF negative trend

CryptoPotato Over the weekend, the company announced it had recorded a massive outflow of $277.2 million over the past five trading days, and the situation only got worse last week, despite September 2 being a US holiday.

Over the four-day trading week, investors withdrew $287.8 million on Tuesday, $37.2 million on Wednesday, $211.1 million on Thursday and $170 million on Friday. Fidelity's FBTC saw the biggest losses, leading the downtrend in three of the four days.

In total, $706.1 million was withdrawn from the U.S. spot Bitcoin ETF during the period, which also marked the eighth consecutive day of negative flows, the longest on record.

With the exception of last Monday (August 26), when investors poured $202.6 million into the ETF, every subsequent trading day has been in the red, meaning total outflows in the past two weeks alone have reached nearly $900 million.

As a result, total assets under management fell below $50 billion for the first time since May 1. It is therefore safe to assume that outflows from ETFs are one of the most likely reasons for the 7% drop in BTC price over the past week.

US-based spots #Bitcoin ETFs are at their lowest level since May 1.

Following a week in which many crypto tokens saw their prices decline (only three of the top 50 tokens by market cap increased during the week), US-based spot Bitcoin and spot Ethereum exchange-traded funds reached new levels in value… pic.twitter.com/0in9Ogy1XJ

— Karan Singh Arora (@thisisksa) September 8, 2024

Lack of Demand for ETH ETFs

While Bitcoin ETF physical flows have been fairly volatile, the same cannot be said for Ethereum, as the second-largest cryptocurrency has yet to capture investor interest and demand.

Tuesday was the worst day in terms of outflows, with $47.4 million being withdrawn from the ETH fund. Wednesday saw $37.5 million being withdrawn, while Thursday and Friday saw minimal activity with outflows of $200,000 and $600,000, respectively.

Last Friday, there were zero reported activities, but the leaks Controlled In 11 of the last 13 business days.