The landscape of cryptocurrency investment products in the United States saw a significant turn as the spot Bitcoin ETFs (exchange-traded funds) registered their first net outflow day in the past week. This noteworthy single-day performance marked the end of yet another impressive weekly outing for these crypto investment products.
Performance Disparity: Bitcoin ETFs Shine While Ethereum ETFs Struggle
After showcasing a strong performance throughout October, the US-based spot Bitcoin ETFs didn’t begin November on a similarly positive note. Data from SoSoValue revealed that the BTC exchange-traded funds experienced a net outflow of $54.9 million on Friday, November 1. This marked a significant shift in the trend.
Delving deeper into the numbers, Fidelity’s FBTC was a surprising contributor to almost half of the outflow, recording $25.64 million. Following closely was Ark & 21Shares’ ARKB, which accounted for $24.13 million, marking its second consecutive outflow day.
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Grayscale’s GBTC, which often plays a part in outflow days for Bitcoin ETFs, recorded only $5.51 million in capital outflow this time. Other funds such as Bitwise’s BITB, VanEck’s HODL, and Valkyrie’s BRRR also contributed to the outflows, with amounts of $5.64 million, $5.86 million, and $1.66 million, respectively.
Interestingly, BlackRock’s ETF, IBIT, recorded neither inflow nor outflow on Friday. This was particularly notable as the asset manager’s fund had seen a consistent influx of capital for 14 consecutive days prior. Remarkably, IBIT had its highest inflow day in the preceding week, with an impressive $872 million influx on Wednesday, October 30.
Despite the outflows at the end of the week, the Bitcoin ETFs’ overall weekly performance remained resilient. According to SoSoValue data, US BTC funds achieved a cumulative weekly inflow of $2.22 billion, the highest since March, indicating sustained investor interest and confidence in Bitcoin’s prospects.
While Bitcoin ETFs have been showcasing remarkable performance, Ethereum ETFs have not been as commendable. Following an almost $11 million outflow on Friday, the weekly capital influx for Ethereum ETFs was reduced to approximately $13 million, highlighting a stark contrast in investor sentiment between the two dominant cryptocurrencies.
Bitcoin Price Overview
Investors are hopeful that Bitcoin ETFs will resume inflows when trading reopens on Monday, given their recent positive influence on Bitcoin’s price. The cryptocurrency’s value nearly reached its all-time high of $73,737 on Tuesday and Wednesday, coinciding with the ETFs’ highest inflows in over five months.
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As of the latest update, Bitcoin’s price hovers just above $68,000, reflecting a 2% dip over the past 24 hours. According to CoinGecko data, Bitcoin has risen by more than 3% over the last seven days, demonstrating a robust recovery trajectory despite recent outflows.
As the cryptocurrency market continues to evolve, the performance of Bitcoin and Ethereum ETFs remains a critical barometer for investor sentiment and market trends. The coming weeks will be crucial in determining whether the current momentum can be sustained or if further fluctuations are on the horizon.
