Spot Bitcoin exchange-traded funds (ETFs) experienced volatility on the first of October, changing the recent trend. The sector recorded $242.53 million in outflows, thus ending an eight-day growth period.
Even with the negative fund flow, BlackRock’s iShares Bitcoin Trust (IBIT) was not bearish as it received $49.84 million in investment. At the end of September 30th, the cumulative net inflow of all Bitcoin ETFs was $18.62 billion, and the net inflow on the day was $2.53 billion.
On the other hand, other large investment funds, including the Grayscale Bitcoin Trust (GBTC), ARKB of Ark Invest and 21Shares, Fidelity’s FBTC, Bitwise’s BITB, and the VanEck Bitcoin ETF, saw outflows.
Bitcoin ETFs Face Outflows While IBIT Gains
BlackRock’s IBIT continues to hold up, being the only Bitcoin ETF to report positive flows at a time when the market is seeing outflows. It rose by $49.84 million on October 1st alone, taking its net inflow to $21.54 billion.
But this was a decline from the $72.2 million it had recorded the previous day, which showed a slowing down of investments. However, since September 23rd, IBIT has experienced positive flows for the past seven days.
This trend shows that the fund is capable of attracting more investors despite the market’s difficulties. Other bitcoin ETFs recorded outflows, while IBIT delivered the opposite result, which is quite the contrast.
Fidelity’s FBTC Leads Bitcoin ETF Outflows
Some of the Bitcoin ETFs saw massive outflows on October 1st, which is not the best way to begin the month for these products. Fidelity’s FBTC was the biggest loser, with $144.67 million in outflows, compared to its $8.3 million in inflows in the previous trading session.
Next in line, Ark & 21Shares’ ARKB reported $84.35 million in outflows, and BITB by Bitwise reported $32.70 million in losses. VanEck’s HODL ETF also reported outflows worth $15.75 million, while Grayscale’s GBTC ETF reported negative inflows of $5.90 million.
Grayscale’s BTC, Invesco’s BTCO, and Franklin’s EZBC didn’t witness any inflows or outflows during the same period under review. These results highlight the continued fluctuation that remains a characteristic of the Bitcoin ETF market.
Ether ETFs See Two-Day Negative Trend
Ethereum ETFs also faced a rocky October, with net outflows at $48.52 million on the first day of the month. This brought the two-day net outflows total to $572.31 million after Ether-based ETFs had seen negative inflows for two days.
The total turnover for all active Ether ETFs was $290.81 million. However, VanEck’s ETHV and 21Shares CETH saw positive inflows even during the outflows.
ETHV raised $2.74M, while CETH secured $1.25M in new investment. On the other hand, Grayscale’s ETHE recorded the most outflows, $26.64 million, while Fidelity’s FETH recorded outflows of $24.97 million.
Fidelity’s FETH is still the biggest Ether ETF by net asset inflows, accounting for $453.67 million. The second is Bitwise’s ETHW, which manages $325.78 million in total assets.
These figures indicate that although the short-term picture suggests outflows, some funds continue to hold long-term positions. As of October 1st, the total net assets of Bitcoin ETFs are equal to 4.77% of Bitcoin’s market capitalization, around $57.36 billion.
This shows that despite recent challenges, demand for ETFs is on the rise. Ethereum ETFs have a total net asset of 2.31% of Ether’s market capitalization, which is worth $6.81 billion.
