Crypto ETFs Crash as Bitcoin & Ethereum Flee 🤡

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Bitcoin and Ethereum ETFs had a week so bad, even your grandma’s knitting group would’ve left early. 🤡 What’s the deal with this? It’s like your Netflix queue-only you’re the one who’s not watching. 📺

U.S. spot Bitcoin ETFs saw approximately $902.5 million in net outflows… ending a four-week inflow streak. What’s the deal with that? It’s like your ex leaving your house after a 4-week “I’m not mad” phase. 😤

Ethereum ETFs lost about $795.6 million, marking their largest weekly redemptions since launch. So, it’s like your friend’s dog finally biting you after 10 years of “I’m just a big softie.” 🐶

The outflows were uneven: Fidelity’s FBTC led BTC outflows, while BlackRock’s IBIT and Invesco’s BTCO defied the trend… So, BlackRock’s ETF is like the cool kid who doesn’t care about the party, while Fidelity’s is the one who’s like, “I’m outta here!” 🏃‍♂️💨

Macro Headwinds Keep Buyers Cautious

The reversal came as traders weighed new U.S. tariff announcements… reviving fears of a growth and liquidity squeeze. What’s the deal with tariffs? It’s like when your roommate decides to redecorate your apartment without asking. 🛠️

Bitcoin briefly slipped below pivotal support intraday… while Ethereum mirrored the move with a shallow bounce. So, it’s like your savings account-always dipping, never really dropping. 💸

Despite the week’s pain, September still shows net inflows for Bitcoin ETFs… evidence that institutional adoption remains intact. What’s the deal with “institutional adoption”? It’s like saying your dog “loves” you because it eats your shoes. 🐕

For now, the market’s message is clear: without a more dovish macro backdrop… allocators may remain selective. So, it’s like your therapist saying, “Don’t overthink it,” while you’re already overthinking. 🧠

Alternative Crypto ETFs Take Spotlight Over Bitcoin and Ethereum

Beneath the headline of redemptions… some desks report rotations toward thematic or alternative crypto ETFs. So, it’s like the crypto version of switching from soda to juice because you’re “trying to be healthy.” 🍹

That discussion overlaps with speculation about a potential BlackRock XRP spot ETF… with market models suggesting $4-$8B of first-year inflows. What’s the deal with XRP? It’s like that one friend who always shows up late but somehow makes the party better. 🕶️

Nevertheless, the week’s outflows serve as a reminder: macro factors outweigh micro in the short term. So, it’s like your mom saying, “You’re not going out until you finish your veggies.” 🥦

Until these factors align positively… ETF flow reports will continue to be the best real-time indicators of institutional confidence. What’s the deal with “institutional confidence”? It’s like your boss saying, “You’re doing great,” while you’re secretly applying for another job. 🚪

Cover image from ChatGPT, BTCUSD chart from Tradingview

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2025-09-30 06:14