U.S. spot Bitcoin ETFs experienced outflows for a second day in a row on October 2, when Bitcoin dropped to below $61,000 due to escalating Middle East tensions.
As per data SoSoValue reported that the twelve U.S. listed spot Bitcoin ETFs had a net outflow of $91.76 millions, which was a continuation from the previous day. $242.53 Withdrawal of Millions
ARK 21Shares ARKB led outflows with $60.26 millions leaving the fund. This was its third day in a row of losing money. Grayscale’s flagship GBTC was not far behind, registering a $27.31-million outflow, bringing their withdrawals total since its launch to $20.12-billion.
BlackRock IBIT ETF experienced its first negative flows in over a month with $13.74 millions withdrawn. The fund’s performance has changed from the previous high levels, but it still attracted $21.52 Billion in new inflows. Bitwise’s BITB has also seen significant outflows. $11.51million left the fund.
In contrast, FidelityFBTC’s ETF was the only one to stand out on this day. It posted inflows totaling $21.08 millions, which partially offset the overall trend of market outflows.
Overall trading volumes across all 12 Bitcoin ETFs dropped significantly on October 2, dropping from $2.53 Billion the previous day to just $1.66 Billion. These funds, which have been around since the launch of their respective ETFs, attracted $18.53 Billion in cumulative net inflows. This shows that institutional interest is still strong in Bitcoin ETFs.
Eric Balchunas Senior ETF analyst at Bloomberg recently noted BlackRock IBIT, and Fidelity FBTC were the two best performers among all ETFs that have been launched since 2020 in terms assets managed. The two funds were launched after the bear market of 2022, which indicates the increasing institutional interest in Bitcoin despite the current market volatility.
The price of bitcoin is under pressure due to geopolitical concerns
Bitcoin (BTCThe ongoing price struggle of bitcoin, which fell below $60,100 at the beginning of October before rising to just about $61,300, is a good example. The ongoing tensions between Israel and IranThe market’s instability has intensified, and Bitcoin is under pressure due to the expected Israeli response to a possible Iranian attack.
Analysts have raised concerns over the potential for further negative risks.
Analyst Ali predicted a correction that could be over 15%. If Bitcoin does not maintain its support level of $60,900 it may see an even deeper drop to $52,000.
Crypto Capo is another well-known market analyst. warned Ethereum’s price could drop to $1800 if Bitcoin reaches that level. It would signal a broader decline in the entire cryptocurrency market.
Ether ETFs break the trend of falling flows
While Bitcoin ETFs struggled, U.S.-based spot Ether ETFs experienced a change in flow, recording a $14.45 million After two days of net outflows, the October 2nd data shows a return to positive net flows.
BlackRock’s ETHA Fund led the recovery, attracting $18.04 millions in new inflows after a day with no activity. Franklin Templeton’s EZET ETF, meanwhile, attracted $1.81million, its first inflows since mid-August.
Grayscale ETHE however continued to suffer from outflows. On the day, $5.4m was taken. Ether ETFs with zero flow on that day were the remaining Ether ETFs.
Ethereum was (at the time of publishing) a currency.ETHThe broader crypto market was under continued pressure as geopolitical tensions and investor insecurity impacted the market.
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Source: crypto.news
