ETF Weekly Recap: Bitcoin and Ethereum Funds Show Promise, But There’s a Catch

Bitcoin and Ethereum ETFs: A Week of Fluctuations

After a challenging week for cryptocurrency ETFs, the spot Bitcoin and Ethereum ETFs have broken their negative streak, ending the trading week with net inflows. However, the performance surrounding Ethereum ETFs remains less than impressive.

Bitcoin ETFs’ Demand Is Back

According to CryptoPotato, the demand for spot Bitcoin ETFs has seen a notable rebound. After experiencing significant outflows last week, where over $274 million left the 11 US-based spot Bitcoin ETFs, the start of the new week brought a refreshing change.

On Monday, the funds welcomed $235.2 million in net inflows. Leading this positive trend were Fidelity’s FBTC and BlackRock’s IBIT, attracting $103.7 million and $97.9 million respectively.

Weekly Fluctuations in Inflows

• Tuesday: -$18.6 million
• Wednesday: -$40.6 million
• Thursday: -$81.1 million
• Friday: +$253.6 million

Despite the fluctuations, the week concluded positively with an overall total of $348.5 million in net inflows. This surge on Friday was reflected in Bitcoin’s price, which climbed from a low of $58,800 to a weekly peak of $63,400, settling around $62,500.

The ETH Catch

Ethereum ETFs also concluded the week slightly in the green, but not without challenges. The spot Ethereum ETFs saw:

• – $8.1 million withdrawn on Tuesday
• – $0.1 million withdrawn on Friday
• + $10.1 million in inflows on Thursday

These inflows managed to offset the losses, but a closer look at the overall performance reveals a concerning trend: demand for ETH ETFs appears to be lacking. Notably, there were no reportable flows on both Monday and Wednesday.

This lack of interest further cements a narrative that investors may be hesitant towards Ethereum compared to Bitcoin. Despite the ETF performance, Ethereum’s price has shown some resilience, recovering from Thursday’s drop and currently trading around $2,450, approximately $100 above the weekly low.

Conclusion

The recent week has highlighted contrasting performances between Bitcoin and Ethereum ETFs. While Bitcoin ETFs have shown a robust recovery with significant inflows, Ethereum ETFs continue to struggle with demand. Investors will need to monitor these trends closely as they could impact future market dynamics.