TL;DR
- Investors pulled a combined $755 million from Bitcoin and Ethereum ETFs on October 13, following a historic $19 billion crypto liquidation triggered by trade tensions.
- Ethereum ETFs led with $428.5 million in outflows, while Bitcoin ETFs saw $326.5 million exit.
- Analysts emphasize that these withdrawals are a short-term “macro reflex” caused by volatility, rather than a structural loss of confidence in crypto investments.
U.S. spot Bitcoin and Ethereum exchange-traded funds recorded significant outflows on Monday, signaling heightened caution among institutional investors. The total $755 million retreat marks the sharpest single-day movement since early September, reversing strong inflows seen earlier in October.
Bitcoin ETFs Hold Firm While Funds Face Mass Exits
Among Bitcoin ETFs, BlackRock’s iShares Bitcoin Trust (IBIT) was a rare exception, attracting $60.4 million in new capital and maintaining its position as the largest crypto fund with $93.1 billion in assets. Meanwhile, Grayscale’s Bitcoin Trust (GBTC) experienced $145.4 million in withdrawals, and Fidelity’s Wise Origin Bitcoin Fund lost $93.3 million. Overall, Bitcoin spot ETFs now hold $157.2 billion, roughly 6.8% of Bitcoin’s market capitalization. Trading volumes spiked to $6.63 billion amid the turbulent session.
Ethereum ETFs Suffer Heaviest Blow Amid Tariff Shock
Ethereum ETFs faced the largest outflows, with BlackRock’s ETHA losing $310.1 million. Grayscale’s ETHE and Fidelity’s FETH followed with $21 million and $19.1 million in redemptions, respectively. This pulled total Ethereum ETF assets down to $28.75 billion, about 5.6% of ETH’s market capitalization. Analysts note that the sell-off was triggered by President Trump’s announcement of 100% tariffs on Chinese imports, which sparked an unprecedented $19–30 billion liquidation of leveraged crypto positions.
Despite the turbulence, Ethereum’s fundamentals remain strong. Technical indicators such as RSI and MACD suggest rising buying momentum, providing potential short-term support. Institutional interest also shows resilience, with BitMine increasing its ETH holdings during the crash, now owning over 3 million ETH valued at $827 million.
Bitcoin and Ethereum continue to face pressure as traders anticipate Federal Reserve Chair Jerome Powell’s speech at the National Association for Business Economics meeting. Any hints of aggressive rate policy could amplify volatility, but analysts argue that the recent ETF outflows are largely defensive positioning, not a signal of a structural retreat from crypto markets.
Markets have shown signs of stabilization over the weekend as trade tensions eased, suggesting the recent exodus may be temporary. With $3.17 billion of crypto inflows just the week prior, the sector still retains strong institutional support, leaving room for recovery once macro signals clear.
