🚨Bitcoin ETFs See 9 Red Days Out of 11 – Is the Euphoria Over?.
The excitement around $BTC ETFs in the US seems to be waning, with February marking a challenging period for these investment vehicles. Data reveals that most days of the month have been dominated by withdrawals rather than investments.
The initial launch of spot BTC ETFs last year was met with enthusiasm as investors shifted their holdings from the Grayscale Trust to other funds and injected new capital into offerings like IBIT and FBTC. However, the fervor has cooled off significantly. Despite the promise of a more favorable regulatory environment following the US elections, investor sentiment towards $BTC has shifted, leading to a noticeable decrease in ETF inflows.
February, often a bullish period for $BTC, has seen only a few days of net inflows this year, specifically on February 4, 5, 7, and 14. The last few weeks have been particularly tough, with just two out of the last 11 trading days showing positive inflows. The most significant outflow occurred on February 20, with $364.8 million exiting the funds, including a notable $112 million withdrawal from IBIT, the largest BTC ETF globally. Since February 6, BTC ETFs have seen a staggering $1.1 billion in net outflows, making February 2025 the worst month on record for these products.
As for $ETH, while the situation is not as dire as with $BTC, it too experienced a negative end to last week after a string of positive inflow days. The week concluded with withdrawals amounting to $13.1 million on Thursday and $8.9 million on Friday. Despite this, February has been more favorable for $ETH ETFs with only a few days in the red. However, the initial enthusiasm seen on February 4, when $307.8 million flowed into $ETH ETFs, has not been sustained, with subsequent inflows remaining in the low double digits.
For investors in $BTC, $ETH, and other trending cryptocurrencies like $SOL, $DOGE, and $SHIB, it's crucial to monitor these market trends closely and adjust strategies accordingly to navigate the ever-changing landscape of digital assets.
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