Twelve spot bitcoin ETFs experienced net withdrawals of $287.78 million on Tuesday, according to data from SosoValue.
Major Bitcoin ETF Losses
The largest bitcoin exchange-traded fund (ETF) by net assets, IBIT, managed by BlackRock, had no flows on Tuesday. The second-largest spot bitcoin ETF, GBTC, run by Grayscale, lost $50.39 million. The biggest loser was Fidelity's FBTC, losing $162.26 million. Ark and 21Shares’ ARKB recorded net withdrawals of $33.6 million, while Bitwise's BITB reported a net outflow of $24.96 million. Small withdrawals were also observed among ETFs managed by VanEck, Valkyrie, Invesco, and Franklin Templeton.
Primary Reasons for Withdrawals
A major market sell-off occurred on Tuesday, influenced by poor U.S. ISM data. The ISM index for August came in at 47.2%, a gain of 0.4 percentage points from July, leading to massive outflows of capital. Compared to Friday's overall trading volume of $1.54 billion, Tuesday's volume was $1.56 billion. Monday was a holiday in the United States, hence the market was closed. At the time of writing, Bitcoin is trading at $57,154, down 1.15% in the last 24 hours according to data from CMC.
Tuesday's Ether ETF Withdrawals
U.S. spot ether ETFs had their largest daily negative flows since August 2, with net withdrawals of $47.4 million on Tuesday. Grayscale Ethereum Trust (ETHE) was the only spot ether ETF to announce outflows for the day, losing $52.31 million.
Significant withdrawals have been observed in both bitcoin and ether ETFs over recent days, attributed to weak economic data and a major market sell-off.
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