Net outflows from Bitcoin and Ethereum ETFs on the day of the Fed rate cut

In the days leading up to the highly anticipated US FOMC meeting, when the central bank was expected to lower interest rates, local investors were on a spot bitcoin ETF buying spree.

However, that changed when the day came.

bitcoin ETF Outflows

Cryptopotato Yesterday, the impressive four-day run of trading leading up to the FOMC meeting was reported. As mentioned, just over $500 million in net inflows entered the 11 spot bitcoin ETFs from September 12th to September 17th.

However, yesterday the picture was different. Even though the Federal Reserve cut key interest rates by 50 basis points, although general expectations were for a more modest cut of 0.25%, financial instruments recorded net outflows of $52.7 million on the day.

ARKB by Ark Invest bitcoin-etf-flow-all-data/” data-wpel-link=”external” target=”_blank”>led The adverse trend was as follows: $43.4 million net was withdrawn. Grayscale’s initial and largest fund (GBTC) was next with $8.1 million, and BITB followed with $3.9 million. The rest saw little to no real flow, while Grayscale’s smallest and newest fund, btc, saw $2.7 million in inflows.

BlackRock's IBIT remains the largest of the group, with nearly $21 billion in assets under management. However, there has only been one day of positive flow in the past three weeks.

In contrast, Fidelity's FBTC enjoyed a favorable streak of seven consecutive days of net inflows before yesterday's lack of action.

Consistency for ethereum ETFs

While spot bitcoin ETFs saw more than $500 million in net inflows in the days leading up to the Fed’s policy shift, their ethereum counterparts didn’t have the same luxury. Withdrawals amounted to $15.1 million on Tuesday and $9.4 million on Monday.

Your situation eth/” data-wpel-link=”external” target=”_blank”>It didn't improve Yesterday, investors withdrew $9.8 million from eth-based products. Grayscale’s ETHE was again in the lead, with $14.7 million in net outflows.

The only bright spot was BlackRock’s EHTA, which recorded $4.9 million in net inflows. ETHA is the only new financial vehicle tracking ethereum’s performance that has surpassed the coveted $1 billion milestone since its creation a couple of months ago.

Despite down days for bitcoin and ethereum ETFs, prices of the underlying assets soared to multi-week highs. btc approached $63,000 earlier today, while eth approached $2,450.

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