United States’ 12 Spot Bitcoin ETFs Witness $1.2B Outflows Over Eight Days
Bitcoin ETFs recorded a significant outflow of $1.2 billion from Aug. 30 to Sept. 6, 2024, marking the longest streak of withdrawals since their introduction earlier this year. Data provided by Bloomberg indicates this sharp outflow from the 12 listed Bitcoin spot ETFs is closely tied to the broader downturn in Bitcoin prices.
Bitcoin’s price took a steep dive from a high of $64,668 on Aug. 26 to a low of $53,491 on Sept. 7, shedding 17.28% of its value in just two weeks. Analysts are not surprised, though, as Bitcoin has historically underperformed in September. This pattern has earned the month the nickname “Rektember”, with prices typically recovering in October, a trend referred to as “Uptober.”
Despite this temporary slump, notable financial voices, including Suze Orman, remain bullish on Bitcoin’s long-term potential. Orman believes the increasing participation of younger investors will ultimately drive Bitcoin’s price higher. In a recent interview with CNBC, she stated that as younger investors accumulate more wealth, Bitcoin will become one of their top investment picks, positively influencing the asset’s value.
Crypto Continues Dominance in 2024 ETF Launches
Despite the outflows, crypto remains at the forefront of new ETF launches. Out of the 400 ETFs introduced in 2024, the top four are all Bitcoin ETFs, including the iShares Bitcoin Trust (IBIT) by BlackRock and Fidelity’s Wise Origin Bitcoin Fund (FBTC). Among the top 25 ETFs by inflows, 13 are related to crypto, with 10 Bitcoin-based and 3 Ethereum-related funds. Notably, the iShares Ethereum Trust ETF (ETHA) has already crossed the $1 billion inflow mark by August 2024.
