BlackRock’s IBIT spot Bitcoin exchange-traded fund (ETF) recently had its first daily net inflow since August 26, attracting $15.8 million in new investments. This break in the three-week drought of positive flows was a positive sign for the fund, as it experienced no activity for eleven trading days and two days of net outflows in late August and early September. Other major spot Bitcoin ETFs also saw positive inflows on Monday, with Fidelity’s FBTC, Franklin Templeton’s EZBC, and VanEck’s HODL fund all attracting new investments. However, Grayscale’s GBTC reported net outflows of $20.8 million, while their smaller Bitcoin ETF, BTC, received $2.8 million in net inflows.
Despite the recent slowdown in inflows, BlackRock’s IBIT continues to lead in overall net inflows for spot Bitcoin ETFs, accumulating $20.9 billion in inflows since January. Fidelity’s FBTC ranks second with $9.6 billion in inflows. The total combined inflows across the sector on Monday amounted to $12.8 million, a significant decline from the previous Friday. While Bitcoin-focused ETFs had a mixed performance, Ethereum ETFs faced challenges with net outflows on Monday. Spot Ethereum ETFs saw $9.4 million in net outflows, a reversal from the previous Friday.
BlackRock’s ETHA led the positive side for Ethereum ETFs, adding $4.2 million in inflows. However, Grayscale’s ETHE fund saw $13.8 million in net outflows, contributing to the overall net outflows in the Ethereum ETF market. Since its inception in July, spot Ethereum ETFs have experienced total net outflows of $590.8 million, with Grayscale’s ETHE alone seeing $2.7 billion leave the fund. Despite these challenges, other spot Ethereum ETFs have collectively brought in $2.1 billion in net inflows.
The digital asset investment products market saw a significant turnaround with $436 million in inflows following a period of outflows totaling $1.2 billion. This reversal was influenced by shifting market expectations, particularly surrounding a potential 50-basis-point interest rate cut on September 18. Bitcoin products attracted the majority of investment inflows, with $436 million following a streak of outflows. Short-Bitcoin flows also saw a reversal with $8.5 million in outflows after three consecutive weeks of inflows. Bitcoin’s current trading price is $58,750, remaining stable over the past 24 hours but down 20% over the past six months. Despite this, the cryptocurrency is still up 39% year-to-date, supported in part by the stabilizing effect of ETFs on the market.
