Aug 22, 08:34 AM

Bitcoin ETFs Shed $1 Billion in Five Days as Ethereum Funds Draw Inflows

U.S. spot Bitcoin exchange-traded funds recorded their fifth straight session of redemptions on 21 August, with preliminary data showing about $194 million in net withdrawals. The largest outflows came from BlackRock’s IBIT at roughly $128 million, followed by ARK 21Shares’ ARKB at $43 million and Fidelity’s FBTC at $32 million. The latest pull-back lifts the cumulative five-day net outflow to more than $1 billion, according to flow tallies compiled by multiple providers. The picture was markedly different for Ethereum vehicles. After four sessions of net redemptions, U.S. spot Ether ETFs attracted about $290 million in fresh money the same day, their first positive reading in nearly a week. The rotation pushed combined crypto-ETF flows for the week into a narrower deficit than earlier in the period, when risk-off positioning saw roughly $1.9 billion leave the asset class by 20 August. Managers and traders said the divergent flows reflect investors’ efforts to trim exposure to the year’s best-performing digital asset while selectively adding to positions viewed as having greater near-term catalysts. Bitcoin has fallen about 10% from its 14 August record near $124,500, while the broader risk-asset backdrop remains fragile ahead of Federal Reserve Chair Jerome Powell’s remarks at the Jackson Hole economic symposium on Friday.