TL;DR:
- Ethereum ETFs saw $145.68 million withdrawn on October 20, while Bitcoin ETFs lost $40.47 million, extending multi-day declines.
- BlackRock’s ETHA led Ethereum outflows, and Bitcoin’s iShares Trust lost $100.65 million, signaling reduced risk appetite.
- Bitcoin fell to $107,460 and Ethereum dropped 17% in two weeks amid political tension, tariffs, and a U.S. government shutdown, challenging the traditional “Uptober” rally narrative that has historically fueled double-digit crypto gains.
October, traditionally a month of optimism for crypto markets, is facing its first real test. The much-hyped “Uptober” rally has dimmed as institutional investors withdraw large sums from Bitcoin and Ethereum exchange-traded funds. According to SoSoValue data, Ethereum spot ETFs recorded $145.68 million in net outflows on October 20, marking three straight days of withdrawals.
Bitcoin ETFs followed with $40.47 million in redemptions, extending their losing streak to four days. The sudden reversal challenges the narrative of a strong seasonal rally that many traders expected would lift prices throughout the month.
Institutional Outflows Shake ‘Uptober’ Momentum
Ethereum funds have seen the sharpest retreat. The total assets under management for Ethereum ETFs fell to $26.83 billion, roughly 5.56% of Ethereum’s total market capitalization. BlackRock’s ETHA led the outflows with $117.86 million, followed by Fidelity’s FETH with $27.82 million. No inflows were reported by VanEck’s ETHV or Bitwise’s ETHW.
While cumulative inflows since launch remain at $14.45 billion, recent activity shows that investor enthusiasm is cooling. On-chain data adds to the unease, as major wallets from the Ethereum Foundation and PulseChain moved large sums of ETH, raising concerns of internal repositioning.
Bitcoin ETFs are showing similar weakness. The group saw $40.47 million in withdrawals on October 20 and a total of $1.23 billion drained over the week, one of the steepest declines since mid-summer. BlackRock’s iShares Bitcoin Trust lost $100.65 million, while VanEck’s HODL ETF and Bitwise’s BITB bucked the trend with modest inflows of $21.16 million and $12.05 million, respectively. The total net asset value of Bitcoin ETFs now stands at $149.66 billion, or 6.76% of Bitcoin’s market cap.
The mood shift coincides with wider uncertainty. A U.S. government shutdown, tariff disputes with China, and fading risk appetite have cooled the once-bullish outlook. Bitcoin’s price slipped to $107,460, while Ethereum is down 17% in two weeks. Analysts warn that if ETF outflows persist, the “Uptober” rally could unravel, testing $100,000 for BTC and $3,800 for ETH as investors wait to see if optimism can return before the month ends.
