Last Friday, Bitcoin ETFs experienced an outflow of funds again, amounting to $23 million. This marks the sixth consecutive day of outflows, and it’s not just ETF money that is flowing out; the amount of Bitcoin on exchanges is also increasing, with most of it being prepared for sale. Especially now, when ETFs are performing well, many people who sold Bitcoin have turned to buy Ethereum. Over the weekend, some long-time holders of large amounts of Bitcoin, often referred to as 'whales', also sold Bitcoin to buy Ethereum.

In contrast, Ethereum ETFs saw an inflow of $337 million on Friday, marking two consecutive days of net inflows. The number of Ethereum waiting to be unstaked on-chain has dropped to 840,000 coins, while the number of new staking applications has doubled compared to Thursday, reaching 400,000 coins. At the same time, Ethereum on exchanges is also being withdrawn at an increasing pace, indicating that more and more people are buying ETH and moving it to their wallets for staking.

This is why over the weekend, the ETH to Bitcoin exchange rate peaked at over 0.043. In fact, Ethereum is siphoning off funds from the Bitcoin market. Of course, today Ethereum did drop slightly alongside Bitcoin, but as long as market sentiment warms up again, it is very likely to continue to outperform Bitcoin.