Hold onto your hats, crypto enthusiasts, because October 1st was a rollercoaster ride for Bitcoin ETFs, marking the worst day for net outflows in a month! After a dazzling run of net inflows, the scene for the 11 US spot Bitcoin ETFs took a dramatic turn this past week, likely influenced by the rumblings of geopolitical tensions in the Middle East.
Our beloved Ethereum-based funds didn't fare much better over the week, with both Bitcoin and Ethereum prices taking a nosedive to local lows. Just last weekend, BTC ETFs were basking in the glory of over $1.1 billion in net inflows over five trading days, with September 27 being a record-breaking Friday for fund allocations since June. This pushed Bitcoin's price from $62,000 to a thrilling $66,500. But alas, the crypto clouds darkened as investors changed course.
As tensions escalated in the Middle East, the eight-day winning streak was shattered on Tuesday with a whopping $242.6 million in net outflows. The bleeding continued with $64.4 million and $54.2 million exiting on Wednesday and Thursday, respectively. Monday and Friday weren't spared either, with $61.3 million and $25.6 million flowing out, leading to a weekly total of $274.3 million withdrawn from the US-based ETFs. Bitcoin’s value took a hit, tumbling from $66,000 to $60,000 mid-week before clawing back to $62,000—still over 5% down for the week.
Ethereum ETFs danced to a slightly different tune but ended with the same somber note. Monday saw minor outflows of $0.8 million, while Thursday was a heart-stopping $48.6 million outflow day. Another $3.2 million vanished on Thursday, but Wednesday and Friday threw in $19.8 million and $7.4 million, respectively. This left Ethereum’s weekly tally at a negative $25.4 million. Despite smaller net outflows compared to Bitcoin ETFs, Ethereum's price took a bigger hit, plummeting from $2,700 to a mid-week low of $2,300, before bouncing back to $2,420—still an 8% weekly drop.
So, fellow crypto adventurers, it’s been a week of twists and turns for Bitcoin and Ethereum. Keep those eyes peeled for what the next week brings!
