Bitcoin and Ethereum ETFs Experience Significant Outflows in October 2024

October 2024 proved to be a challenging month for US spot crypto exchange-traded funds (ETFs), with Bitcoin and Ethereum products both experiencing substantial outflows. Bitcoin spot ETFs recorded net outflows of $203 million, while Ethereum ETFs suffered a staggering $1.61 billion in losses, the largest monthly outflow since their launch in July 2024.

The outflows for Ethereum ETFs ended a three-month inflow streak and coincided with a 16.1% drop in the price of Ether, marking its weakest October since 2016. Throughout the month, Ethereum funds experienced outflows in all five weeks, with the heaviest week seeing $542 million leave the funds.

In contrast, Bitcoin ETFs had a mixed flow pattern, with total outflows for the month nearing $516 million. Despite the losses, Bitcoin ETFs have accumulated approximately $57 billion in net inflows since their launch in January 2024, maintaining total assets close to $99 billion. Meanwhile, Ethereum ETFs have seen cumulative inflows of around $12 to $14 billion since their debut.

The ongoing trend indicates a cooling investor appetite for Ether compared to Bitcoin, as evidenced by Ethereum ETFs logging 23 consecutive days of outflows in October. This stark difference in performance highlights a shift in market preference, with Bitcoin continuing to attract more capital even in a challenging month.

As major asset management firms like BlackRock and Fidelity play a crucial role in shaping the flow dynamics, any changes in demand at these institutions could quickly impact the overall market for both Bitcoin and Ethereum ETFs.