The landscape for the 11 U.S. spot Bitcoin ETFs, which have enjoyed a very impressive streak of net inflows, has changed over the past week, likely due to geopolitical tensions in the Middle East.
Ethereum-based funds have also been losing money on a weekly basis, and the prices of the two underlying assets have plummeted to local lows.
Bitcoin ETF breaks strong record
CryptoPotato reported over the weekend that the BTC ETF posted a positive streak, generating over $1.1 billion in net inflows in just five business days. Additionally, that Friday (September 27) was the highest day in terms of allocated funds since early June.
As a result, the price of BTC skyrocketed from $62,000 to over $66,500 within the same week. However, the situation has worsened over the past five business days as investors have shifted their strategies.
Perhaps due to the escalating conflict in the Middle East, market participants extended their eight consecutive positive days on Tuesday, with net outflows totaling $242.6 million. Wednesday and Thursday were also painful for the ETF, with $64.4 million and $54.2 million flowing out of the ETF, respectively.
Monday and Friday saw net outflows worth $61.3 million and $25.6 million, but the week overall ended in the red. Overall, $274.3 million was withdrawn from U.S.-based ETFs.
This had a negative impact on BTC price movements, with the asset dropping from $66,000 (last Sunday) to $60,000 on Wednesday and Thursday. Despite a slight recovery to $62,000 at the moment, the cryptocurrency is still down more than 5% weekly.
Ethereum ETF is also in the red
The Spot Ethereum ETF had a slightly different week, but the results were the same. Monday started with a small outflow of $800,000, but Thursday saw $48.6 million outflows. Another $3.2 million was withdrawn on Thursday, while investors allocated $19.8 million in net inflows on Wednesday and $7.4 million on Friday.
This brings the weekly total value of the ETH ETF to -$25.4 million. Although Ethereum’s net outflows were much lower than the Bitcoin ETF’s net outflows, the price of ETH actually fell further.
The second-largest digital asset was at nearly $2,700 last Sunday, plummeted by nearly $400 midweek, and bottomed out at about $2,300 on Thursday. It has now recovered to $2,420, but is still down more than 8% for the week.
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