In a week characterised by a decline in the underlying asset from over $84,000 to a monthly low of under $80,000, it is almost anticipated that the exchange-traded funds reflecting its performance would register losses. Indeed, they were. The same can be observed regarding the Ethereum ETFs, which, despite experiencing a solitary day of positive performance, continued to prolong their negative trend. The spot Bitcoin ETFs have become closely associated with BTC’s price fluctuations in recent weeks. When net inflows are substantial, as observed at the end of September when investors contributed $2.4 billion to the funds within five trading days, the price of the cryptocurrency experienced significant growth. Conversely, BTC experienced a decline during the initial two full weeks of October.
As reported last weekend, the ETFs experienced net outflows exceeding $680 million, following a rejection at $87,000, which led to a decline of several thousand dollars. It attempted to rebound in the subsequent days and reached $84,000 on several occasions, only to face rejection once more. This time, the bears advanced their position, driving it down to just under $80,000 for the first time in a month. It is worth noting that this occurred during a week characterised by negative ETF flows. Overall, the funds experienced a net outflow of $228.58 million, which represented an improvement compared to the prior week. Beginning with a loss of $65.40 million on Monday, the week saw a net inflow of $175.62 million on Tuesday.
However, it reverted to negative territory with a loss of $261.46 million on Wednesday. Thursday recorded a slight gain of $5.06 million, followed by an outflow of $82.39 million on Friday, concluding the week in the red. Ultimately, the funds’ total net cumulative inflows have decreased from nearly $57.8 billion on October 2 to $56.88 billion on October 16. Despite the BTC ETFs experiencing nearly $230 million in net outflows last week, the surrounding landscape is not as unfavourable as that of their Ethereum counterparts. The funds tracking the leading altcoin have recorded merely one day of positive performance since September 28. On October 13, investors allocated $24.84 million.
In contrast, the remainder of the week exhibited a divergent trend, characterised by net outflows amounting to $85.40 million on Monday, a substantial $129.51 million on Wednesday, an additional $60.22 million on Thursday, and $69.68 million on Friday. Consequently, the week concluded with approximately $320 million in net outflows, surpassing the spot BTC ETFs in that unfavourable ranking. This marks the third consecutive week of declines for the Ethereum ETFs, which experienced a loss of $1 billion during this timeframe. The underlying asset’s price experienced a significant decline last week, approaching $2,300 for the first time since the breakout rally in August.
