Bitcoin ETF Outflows 631 BTC; Ethereum ETF Loses 4,319 ETH
On September 1, Lookonchain monitoring revealed net outflows from prominent crypto exchange-traded funds, with both Bitcoin ETF products and Ethereum ETF products recording substantial withdrawals. Bitcoin ETF funds posted a combined net outflow of 631 BTC (approximately $68.8 million) across ten trusts, led by a 627 BTC withdrawal from VanEck, which now holds 16,780 BTC (around $1.83 billion). This Bitcoin ETF net outflow underscores investor caution amid prevailing market volatility. Meanwhile, Ethereum ETF products saw a net outflow of 4,319 ETH (roughly $19 million) across nine funds, driven by Bitwise’s 5,467 ETH exit, leaving it with 130,701 ETH (about $575 million). These ETF net outflows highlight a bearish sentiment that could weigh on short-term price dynamics for both cryptocurrencies.
Bearish
The net outflows from both Bitcoin ETF and Ethereum ETF products indicate growing investor caution and a bearish sentiment in the short term. Historically, ETF withdrawals have correlated with downward pressure on spot prices as institutional demand declines. The $68.8 million pulled from Bitcoin ETFs and the $19 million from Ethereum ETFs reflect increased risk aversion amid market volatility, which may intensify selling pressure across spot and derivatives markets. Similar outflow episodes in past cycles often coincided with price corrections, prompting traders to adopt defensive strategies. While stabilization of macro conditions could eventually reverse the trend and attract inflows, the current ETF net outflows are likely to sustain a bearish bias and influence short-term trading decisions.