Key Insights
Which Bitcoin ETFs Experienced the Largest Outflows?
Fidelity’s FBTC saw the highest outflows of $330.4 million, followed by Ark 21Shares’ ARKB. Even BlackRock’s IBIT, typically a strong performer, experienced a loss of $37.3 million.
Performance of Ethereum ETFs
Ethereum ETFs faced redemptions totaling $795.6 million. Fidelity’s FETH led with outflows of $362 million, while BlackRock’s ETHA saw $199.9 million in withdrawals. Only ETHE and TETH saw gains.
After a period of robust growth in the ETF market, a shift has occurred.
U.S.-listed Spot Bitcoin [BTC] and Ethereum [ETH] exchange-traded funds (ETFs) experienced significant outflows last week, totaling over $1.7 billion.
This exodus coincided with heightened volatility in both cryptocurrencies, with Bitcoin and Ethereum each dropping more than 8% during the same period.
Bitcoin ETF Update
Data from Farside Investors shows that U.S.-listed Spot Bitcoin ETFs experienced net withdrawals of $903 million last week.This marked the end of a month-long streak of inflows, indicating a decline in institutional confidence.
On September 26th, Fidelity’s FBTC led the outflows with $330.4 million, followed by Ark 21Shares’ ARKB and other funds.
Even BlackRock’s flagship IBIT, known for its strong performance, saw outflows of $37.3 million, while Bitwise’s BITB lost $23.8 million.
Several other funds reported smaller redemptions, with some remaining stagnant in terms of flows.
Ethereum ETFs Did Not Fare Well
Nine U.S.-listed spot Ethereum ETFs collectively experienced withdrawals of $795.6 million in the week ending September 26th, marking their highest outflows since launch.
Fidelity’s FETH once again stood out with the largest withdrawals of $362 million, followed by BlackRock’s ETHA, which saw $199.9 million in redemptions.
Grayscale’s ETHE and 21Shares’ TETH were exceptions, seeing modest inflows while most other funds remained stagnant.
Will Altcoins Bring Relief?
With the changing investor sentiment, focus is now shifting towards altcoin ETFs, as several final approval deadlines are approaching in October.
Renowned analyst Daan Crypto Trades has dubbed October as “ETF month,” suggesting a potentially crucial period for the broader digital asset ETF market.
He mentioned,
“We anticipate approvals for ETFs covering major altcoins like $SOL, $XRP, $LTC & $DOGE.”
Daan Crypto Trades pointed out that none of the ETF applications with October deadlines are from industry giants like Fidelity or BlackRock, the key players in the crypto ETF sector.
Nevertheless, the pending approvals could inject fresh momentum into the market in the coming weeks. Interestingly, this wave of outflows occurred despite ongoing institutional interest in Bitcoin ETFs.
From Inflows to Outflows in a Week
Just last week, Spot Bitcoin ETFs saw inflows of $642.4 million, as reported by Farside Investors.
The broader financial landscape has witnessed increased involvement of Wall Street in the crypto space, with JPMorgan planning to accept Bitcoin ETF shares as collateral for loans starting in June 2025.
These developments highlight the mixed signals in today’s ETF market: short-term volatility overshadowed by long-term institutional integration.