key insights
- Bitcoin demand bounced back on a daily basis, but not a monthly basis. The monthly net outflows were about $202 million, and the inflow on October 26 followed previous outflows.
- The selling pressure on Ethereum funds was higher. October saw withdrawals of over $1.1 billion, led by the largest daily outflow BlackRock’s ETHA recorded in the month.
- Bitcoin has a bigger investor base. The total Bitcoin ETF inflows are over $57 billion, while the total for Ethereum ETFs is around $12.7 billion.
Spot Bitcoin ETFs pulled in $110.3 million in net inflows Oct. 26, whereas Ethereum ETFs saw $88.6 million in net outflows. BlackRock was the leading force in both, as its IBIT fund had all the Bitcoin ETF inflows and its ETHA product had the highest number of withdrawals from Ethereum. The divergence makes a point of diverging investor flows for the two biggest investment products of cryptocurrencies.
Bitcoin ETFs recover as IBIT drives inflows
Bitcoin ETFs regained positive momentum on October 26 after substantial withdrawals earlier in the week. According to SoSoValue, the funds attracted approximately $110 million in net inflows on Monday. BlackRock’s IBIT accounted for the entire $110.3 million total, while other funds recorded no net flows.
However, the daily recovery has not erased October’s losses. U.S. spot Bitcoin ETFs recorded approximately $202 million in cumulative net outflows through Monday. Investors therefore continued to withdraw money over the month despite renewed demand during the latest session.
Bitcoin’s price performance also reflected a challenging market environment. BTC traded at approximately $79,595 at publication and had declined 2.6% over seven days, according to CoinGecko.
Meanwhile, the Crypto Fear & Greed Index fell to 48 from 50 a day earlier. Overall, the reading stayed in neutral territory, which would indicate a lack of extreme fear or hope in the market. Bitcoin ETFs’ latest inflow offers evidence of renewed buying interest. The monthly data, however, reveals that the selling recently by investors has not been fully stemmed.
Ethereum ETFs are under increasing pressure to withdraw.
The opposite was true of Ethereum ETFs, which saw $88.6 million in net outflows across all of them on October 26. They each had a different amount of withdrawals with BlackRock’s ETHA receiving $104.7 million and Fidelity’s FETH receiving $16.1 million.
Those opposing flows produced the sector’s daily net loss. Other Ethereum ETF products recorded no net inflows or outflows during the period. October has proved particularly difficult for Ethereum investment products. Monthly withdrawals have exceeded $1.1 billion, making this year’s largest monthly outflow period for the funds.
The withdrawals suggest that demand for Ethereum exposure has weakened relative to Bitcoin during the reported period. However, one day’s figures cannot establish whether investors intend to maintain that preference.
The divergence is clearly illustrated by the different results from BlackRock. An influx of new funds came to IBIT, and ETHA had substantial redemptions occurring on the same day.
The figures also show why aggregate flows matter. Although Fidelity’s FETH attracted new money, its inflow could not offset the larger withdrawals from BlackRock’s Ethereum product.
Bitcoin’s weekly performance offers a different signal
Bitcoin ETF flows were more resilient this past week around October 23-24. The net inflows on the funds came to about $301 million for the week, despite the about $774 million in redemptions late in the week.
Those withdrawals were topped up with early week purchases to ensure that the funds had a positive weekly balance. But the numbers also showcase significant shifts within investors’ demand in a short time.
Another development in the crypto space was spotted by cryptoQuant analyst Darkfost, who noted the withdrawal of Bitcoin deposits from Binance. The amount of deposits by retail investors rose almost two times in 30 days to $10.8 billion, while deposits from large holders fell to $3.8 billion.
Darkfost suggested that smaller investors might be using the recent price rebound to sell. These exchange deposit figures provide additional context, although deposits alone do not confirm completed sales.
Together, ETF flows and exchange activity offer different views of investor behaviour. The data on the ETFs reflects transactions of net capital inflows or outflows into or out of investment products, and exchange deposits refer to transfers between exchange platforms.
Neither measure independently establishes the market’s next direction. Instead, investors can assess both alongside price movements and broader sentiment
Bitcoin and Ethereum ETFs show a wide-scale gap
The longer-term figures underline the difference in capital attracted by the two markets.U.S. spot Bitcoin ETFs have witnessed a net inflow of over $57 billion since their launch. The combined balance of their holdings is about 1.3 million BTC.
Cumulative net inflow to Ethereum ETFs is approximately $12.7 billion. They have roughly six million ETH in their portfolio, and combined assets under management are valued at $14.5 billion to $14.6 billion.
The value of bitcoin ETF assets is about $102 billion to $104 billion. This puts their assets in significantly stronger position, compared to Ethereum products.
Key figures illustrate the difference.
– Bitcoin ETFs have drawn than $57 billion, in net inflows.
– Ethereum ETFs have collected about $12.7 billion since launch.
– BlackRock’s IBIT generated the full $110.3 million Bitcoin ETF inflow on October 26.
– BlackRock’s ETHA recorded $104.7 million in daily outflows.
BlackRock, Fidelity and Grayscale operate major products across both markets. Their funds provide investors with regulated exchange-traded exposure to Bitcoin and Ethereum without requiring direct token ownership.
