On Friday, the Federal Reserve announced key inflation statistics that showed price pressures have been increasing as a result of President Donald Trump’s trade policies.
SoSoValue dataEtherETH) ETFs saw a net outflow of $164.64 million, reversing five straight days of inflows that had added more than $1.5 billion to the asset class.
BitcoinBTCIt was the first time since 22 August that ETFs had a daily loss. Total assets under administration dropped from $28.58 billion to Bitcoin at $139.95 and Ethereum.
Fidelity FBTC had the highest outflow of Bitcoin ETFs in a single day, at $66.2 millions. ARK Invest’s ARKB and 21Shares ARKB were next with a net withdrawal of $72,07 million, followed by Grayscale’s GBTC at $15.3 million. BlackRock IBIT gained $24.63 millions and WisdomTree BTCW added $2.3 million.
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Fed announces core inflation higher than anticipated
Outflows were released at the same time as the Fed’s preferred inflation gaugeThe core Personal Consumption Expenditures Index (PCE), which in July showed a 2,9% annualized increase, was the highest level since February.
You can also find out more about the following: reportThe price increase was due to the Trump tariffs on imports. according CNBC.
Trump’s White House has implemented a 10% baseline tariff on all imported goods and targeted further categories via reciprocal duty. Although energy prices kept inflation at bay, the services sector grew by 3.6% in one year.
CNBC reports that, despite an increase in inflation, markets are still pricing a Federal Reserve interest rate cut for its next meeting.
Related: US ETFs now a major source of Bitcoin spot trading volume
As corporates fuel demand, Ether ETFs are on the rise
Ether spot exchange-traded funds (ETFs) have seen steady growth since their July 2024 launch. Net inflows in August increased 44% from $9.5 billion up to $13.7billion. Analysts attribute this growth to the influx of new investors. rebound in institutional interest After a period in which Bitcoin has underperformed, it is now showing signs of improvement.
Ether adoption by corporate treasuries is increasing as well. Companies hold 4.4 millions ETH worth over $19 billion. This is roughly 3.7%. according StrategicETHReserve
“After an extended period of underperformance relative to Bitcoin and a souring investor sentiment, Ethereum has recently experienced a significant revival in the recognition of both its adoption rate and value proposition,” Fabian Dori, chief investment officer at Sygnum and Cointelegraph.
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Source: cointelegraph.com
