US spot Bitcoin exchange-traded funds (ETFs) saw an inflow of around $117 million on Tuesday, signaling a recovery after a recent streak of outflows.
Fidelity’s Bitcoin Fund (FBTC) led the charge, attracting $63 million in net inflows, according to Farside Investors data.
This boost raises the fund’s total net inflows to $9.5 billion after eight months of trading. FBTC now manages $10.5 billion in Bitcoin, making it the third-largest Bitcoin ETF, behind BlackRock’s iShares Bitcoin Trust (IBIT) and Grayscale’s Bitcoin Trust (GBTC).
**More Bitcoin Funds Gain Inflows**
Other funds also performed well. Grayscale’s Bitcoin Mini Trust (BTC), a low-cost version of GBTC, and ARK Invest’s Bitcoin ETF (ARKB) saw net inflows of $41 million and $13 million, respectively.
However, BlackRock’s IBIT and other major Bitcoin ETFs did not experience inflows during Tuesday’s trading.
These inflows come after a significant outflow period from late August to early September, during which over $1 billion was withdrawn. BlackRock’s IBIT faced its second outflow since its January launch during this period, but it remains dominant with over $20 billion in assets.
At the same time, US spot Ethereum ETFs showed signs of recovery, with approximately $11 million in net inflows on Tuesday. Fidelity’s Ethereum Fund (FETH) brought in $7.1269 million, while BlackRock’s iShares Ethereum Trust (ETHA) attracted $4.3101 million. Other Ethereum ETFs saw no activity.
Despite recent outflows, crypto-focused ETFs continue to lead the market. Among the 400 new ETFs launched in 2024, the top four are all spot Bitcoin ETFs. Key products include BlackRock’s iShares Bitcoin Trust, Fidelity’s Wise Origin Bitcoin Fund, ARK 21Shares Bitcoin ETF, and Bitwise’s Bitcoin ETF Trust.
Additionally, the iShares Ethereum Trust ETF became the seventh-largest ETF launch of 2024, surpassing $1 billion in inflows as of August.
**Digital Asset Products Face Largest Outflows Since March**
Digital asset investment products have recently seen a sharp decline, with outflows totaling $726 million over the past week, matching the largest outflow recorded in March this year.
Bitcoin was the hardest hit, with outflows reaching $643 million. Meanwhile, short-Bitcoin products saw modest inflows of $3.9 million, suggesting some investors are hedging against further Bitcoin price declines.
Ethereum also suffered significant outflows, with $98 million withdrawn, much of it from the Grayscale Ethereum Trust.
September has historically been a challenging month for Bitcoin, a trend referred to as “Rektember” in the crypto community, while “Uptober” is known for its typically positive price movements in October.
