Bitcoin ETFs experience a significant outflow of $342.2 million, marking the end of a 15-day inflow streak. At the same time, Ethereum ETFs continue to gain momentum.
Bitcoin ETFs Experience Fund Outflows
Bitcoin ETFs reported a significant outflow of $342.2 million, ending a 15-day streak that brought over $4 billion into the market. Fidelity’s FBTC fund saw the largest outflow of $172.7 million, while Grayscale’s GBTC experienced $119.5 million in redemptions.
Powell's Comments on Rates and Tariffs
The outflows followed comments from Federal Reserve Chair Jerome Powell indicating that there would be no near-term rate cuts. During the ECB event in Portugal, Powell highlighted that tariff policies have significantly influenced inflation forecasts in the U.S., forcing the Fed to pause rate cuts.
Ethereum ETFs Continue to Attract Inflows
While Bitcoin ETFs faced outflows, Ethereum ETFs saw $40.7 million in net inflows on the same day. The BlackRock's ETHA fund led the inflows with $54.8 million. This marks the third consecutive day of positive inflows, totaling $150 million over three days.
The overall trend indicates that investors are becoming more sensitive to macroeconomic signals, particularly regarding interest rates and monetary policy. While Bitcoin ETFs struggle, interest in Ethereum ETFs continues to grow.
