Crypto ETFs Witness a Trend Reversal: Bitcoin Draws in $238 Million, Ethereum Ends Outflow Series

Following a turbulent week with massive outflows, spot-based crypto ETFs exhibited a remarkable recovery by the weekend. On Friday, Bitcoin, Ethereum, and Solana products recorded positive inflows across the board for the first time.

Bitcoin ETFs Lead the Recovery

The Bitcoin ETFs collected a total of $238.4 million on Friday, demonstrating a clear trend reversal. BlackRock's IBIT led the charge with inflows of $108 million. Smaller contributions from BITB, ARKB, and BTCO also contributed to the overall positive performance.

Particularly noteworthy is that even Grayscale's GBTC, which had been regularly facing outflows in recent months, recorded an inflow of $61.5 million. This signals a possible shift in investor sentiment.

Recovery After Historic Outflows

The positive development follows one of the weakest trading days since the launch of spot ETFs in January 2024. On Thursday, around $903 million had flowed out of Bitcoin products - the highest single-day value in November and one of the largest individual daily outflows since the products' inception.

Nearly all issuers were affected by these massive outflows: IBIT saw outflows of $355.5 million, FBTC lost $190.4 million, and GBTC had to absorb outflows of $199.4 million. The trend reflected the significant market nervousness, which had intensified through substantial price declines in the second half of the week.

Ethereum Ends Eight-Day Negative Series

For Ethereum ETFs, there was a particularly significant trend reversal on Friday. After eight consecutive trading days of outflows, the products recorded inflows totaling $55.7 million for the first time.

Fidelity's FETH made the largest contribution to this recovery with an impressive $95.4 million. This marked the end of a particularly difficult period for Ethereum products: Between November 11 and 20, a total of around $1.28 billion had flowed out of Ethereum ETFs - one of the longest and most intense outflow phases since their market launch.

Solana ETFs Continue Success Series

While Bitcoin and Ethereum celebrated their trend reversals, Solana ETFs confirmed their already positive development. The products continued their 10-day inflow series, significantly outperforming the broader altcoin market.

Since their launch, the five Solana products have collectively amassed an impressive $510 million. This trend is led by Bitwise's BSOL, which alone accounts for $444 million of the total inflows.

Outlook

The recovery of crypto ETFs at the end of the week suggests a possible stabilization of market sentiment. Whether this positive trend will continue in the coming week remains to be seen given the ongoing market volatility. However, data from Farside Investors shows that the interest of institutional investors in crypto products remains fundamentally intact despite temporary setbacks.