Bitcoin and Ethereum exchange-traded funds (ETFs) have seen significant outflows totaling $1.9 billion over three days, attributed to investor worries about tariffs and a slowing U.S. economy. Analysts, however, consider this decline to be a short-term trend following a robust July. Zach Pandl of Grayscale noted that the ongoing demand for Bitcoin and looming regulatory approvals for new products, like staking ETFs, could reignite inflows. In the past week, Bitcoin and Ethereum prices fell by 3.6% and 5.2%, respectively, with Bitcoin dropping below $112,500 and Ethereum reaching lows not seen since mid-July. Despite recent outflows being notable, they represent a small fraction of the assets under management, particularly in larger funds like BlackRock’s iShares Bitcoin Trust, which manages over $70 billion. The industry remains optimistic that recovery will occur as market conditions improve and new products come to market.

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