Bitcoin ETFs See $525M Inflow, Ethereum ETFs Attract $14M

Bitcoin ETFs See Strong Inflows, Ethereum Funds Show Mixed Results

U.S. spot Bitcoin exchange-traded funds (ETFs) experienced a significant surge on October 21, attracting approximately $525 million in net inflows. This marked the largest single-day influx for these funds in nearly a month.

Meanwhile, Ethereum ETFs had a more subdued day, adding roughly $14 million. However, this modest gain was enough to break a five-session streak of outflows.

BlackRock and Fidelity Lead Bitcoin Surge

The bulk of the activity in Bitcoin ETFs was driven by two major issuers. BlackRock’s IBIT fund saw inflows of around $235 million, while Fidelity’s FBTC added approximately $213 million. Together, these two products accounted for about $448 million of the day’s total, with other issuers sharing the remainder.

This strong performance capped a robust three-day period for Bitcoin funds, which collectively garnered between $1.07 billion and $1.08 billion in inflows. This recent buying spree has significantly altered the month’s trajectory. Earlier in October, Bitcoin ETFs had experienced outflows nearing $910 million over a two-week span. Following the recent inflows, cumulative net flows for October have now turned positive, standing at approximately $460 million.

Ethereum ETFs Navigate Internal Shifts

On the Ethereum side, the $14 million inflow was accompanied by notable internal movements. Grayscale’s ETH staking mini-trust reported an inflow of $28 million, and Fidelity’s FETH added $13 million. These two products alone totaled $41 million, exceeding the day’s net inflow figure. This suggests that other Ethereum funds experienced redemptions that offset some of these gains.

The preceding five-day outflow streak had been costly for Ethereum ETFs, which saw approximately $200 million in redemptions during that period. Consequently, Ethereum funds remain down about $1.07 billion for October overall.

Market Reaction and Broader Context

Despite the substantial inflows into Bitcoin ETFs, this did not translate into a price rally on the day. Bitcoin traded within a narrow range of $81,500 to $84,800, with minor price declines observed alongside the inflows. Broader market uncertainty and traders positioning themselves ahead of upcoming economic events, including Federal Reserve meetings, appear to be influencing price action.

Spot Bitcoin ETFs were launched in January 2024, followed by Ethereum ETFs in July 2024. These products offer institutional and retail investors regulated avenues to gain exposure to these digital assets without direct ownership. Ethereum ETFs have faced greater challenges in gaining traction, with their monthly deficit of approximately $1.07 billion nearly matching the total inflows Bitcoin funds collected over the preceding three days.