Spot Bitcoin ETFs Attract $238 Million as Ether Funds End 8-Day Outflow Streak

Spot crypto exchange-traded funds (ETFs) had a significant recovery at the end of the week after a turbulent period, with Bitcoin, Ether, and Solana funds all seeing positive inflows. This article examines the recent movements in these markets and highlights key developments in the cryptocurrency landscape.

Key Takeaways

Bitcoin ETFs Saw Strong Inflows: Spot Bitcoin ETFs recorded a net inflow of $238.4 million, reversing a previous trend of heavy redemptions.
Ether Funds End Losing Streak: After an eight-day period of outflows, Ether ETFs attracted $55.7 million, largely driven by Fidelity’s significant contribution.
Solana ETFs Performing Well: Solana ETFs continue to outshine the altcoin market, accumulating $510 million in inflows since their launch.
Ether Traders Show Cautious Optimism: Despite a notable decline in Ether prices, some traders are beginning to add long positions, signaling potential stabilization.

Spot Bitcoin ETFs pull $238M as Ether funds snap 8-day outflow streak

Bitcoin ETFs: A Dramatic Turnaround

At the end of the week, Bitcoin ETFs experienced a remarkable rebound, drawing in $238.4 million in new investments. This comes after a challenging day where heavy redemptions had previously marred investor confidence. Leading this recovery was BlackRock's IBIT, which alone accounted for $108 million of the inflows. Other funds, including BITB, ARKB, and BTCO, also contributed to lifting market sentiment. Grayscale's GBTC, which has faced long-standing outflows, added $61.5 million during this period, according to analytics from Farside Investors.

The bounce back is particularly significant following a record outflow of $903 million on Thursday—the largest single-day withdrawal in November and one of the most considerable outflows since the launch of these products in January 2024. On that day, redemptions impacted nearly every issuer, with IBIT experiencing a loss of $355.5 million, FBTC losing $190.4 million, and GBTC with $199.4 million in outflows.

Bitcoin ETFs attract $238 million. Source:_Farside Investors

Ether Funds Break an 8-Day Outflow Trend

The Ether ETF market saw a revival after an eight-day streak of outflows, recording $55.7 million in inflows on Friday. This turnaround was greatly influenced by significant contributions from Fidelity’s FETH, which alone accounted for $95.4 million. This recovery follows a rough period between November 11 and November 20, during which Ethereum funds lost a total of $1.28 billion—a notable downward trend since their introduction.

Meanwhile, Solana ETFs continue to stand out in comparison to the wider altcoin market, accumulating a remarkable $510 million in net inflows since their launch. The leading fund, Bitwise's BSOL, has garnered $444 million, and the group has experienced a continuous inflow streak lasting ten days.

Cautious Optimism Among Ether Traders

This past week saw a sharp decline in Ether's value, with a drop of 15% from Wednesday to Friday, leading to the liquidation of approximately $460 million in leveraged long positions. Despite this downturn and an overall decline of 47% since reaching its all-time high in August, derivative trading data suggests that top traders are cautiously starting to build long positions.

Futures funding rates have also seen an uptick, rising from 4% to 6%, indicating early signs of market stabilization, but the overall demand from bullish traders remains subdued.

Conclusion

As the market shifts, these developments in Bitcoin, Ether, and Solana ETFs illustrate the dynamic nature of the cryptocurrency landscape. With significant inflows and cautious investor optimism, the coming weeks may bring further changes in the market's direction.