On August 23, 2024, significant changes were observed in the US exchange-traded funds (ETFs) market, particularly concerning Bitcoin (BTC) and Ethereum (ETH). According to Spot On Chain, Bitcoin ETFs saw a substantial inflow of $252 million. On the other hand, Ethereum ETFs experienced an outflow of $5.7 million.
BlackRock Leads Bitcoin ETF Inflows with $86.8M
Leading the Bitcoin ETF inflows was BlackRock (IBTIT). It has attracted the largest single amount with $86.8 million. These investments have increased and are in tandem with an equally impressive increase in the price of Bitcoins which indicates return of investor confidence. All the five US Bitcoin ETFs registered in the inflows of more than $20 million on the same day indicating a sustained demand for BTC amid positive market signals.
This week, Bitcoin ETFs were a net recipient of $506 million, and there were no days of outflows. This is an indication of additional positive overall sentiment in Bitcoin as investors have continued top up their investments in these funds.
On the other hand, the Ethereum ETFs were not an exception to the difficult time. The outflow for Ethereum ETFs as of August 23 was $5.7 million and has shown that there is has lately been losing buying pressure. The largest outflow was registered by Grayscale, which is involved in the Ethereum ETFs and withdrew $9.8 million. This week proved to be rather unkind to Ethereum ETFs, with a total net outflow of $44.5 million for the week and negative flows each day.
Cryptocurrency Market Trends Show Growing Preference for Bitcoin Over Ethereum
A comparison of Bitcoin and Ethereum ETF paints a picture of varying investor sentiments. In this regard, Bitcoin products are enjoying reinforcing inflows and a growing investor interest. In contrast, the Ethereum ETFs failed to attract investments. This outflow indicates the existing obstacles for the Ethereum market.
Analyzing the latest flow data, reported by Spot On Chain of ETFs, it is possible to observe changes in the tendencies in the sphere of cryptocurrencies. Indeed, the current trend of a strong Bitcoin performance accompanied by massive inflows basically negate Ethereum’s challenges, which indicates that the current investors’ preference is with Bitcoin. Such tendencies show the dynamics of the cryptocurrency investment market and the responses of investors to the operations on the key digital currencies.
Source: https://blockchainreporter.net/bitcoin-etfs-see-252m-inflow-ethereum-etfs-face-5-7m-outflow/