United States spot Bitcoin exchange-traded funds staged a powerful recovery at the start of the week, recording $526.7 million in net inflows on Monday. This marked the products’ largest daily intake in nearly a month and provided a welcome respite after consecutive weeks of net weekly withdrawals that had weighed on investor sentiment across the broader digital asset market.
According to data compiled by Farside Investors, Monday’s robust inflows represented the strongest single-day performance for the asset class since Sept. 22, when the funds collectively attracted $714.7 million. The sharp turnaround effectively reversed the previous week’s downward pressure and wiped away the lingering pessimism left by Friday’s $82.4 million in net outflows.
The market dynamics on Monday were heavily dominated by BlackRock’s iShares Bitcoin Trust (IBIT). IBIT led the pack with a staggering $665.2 million in inflows, an amount that single-handedly exceeded the net total across the entire category of US spot Bitcoin ETFs. This massive accumulation by BlackRock’s flagship fund underscored the continued institutional demand for regulated Bitcoin exposure, even as portions of the broader market experienced profit-taking or capital reallocation.
However, the impressive inflows generated by IBIT were partially tempered by outflows from competing financial products. Fidelity’s Wise Origin Bitcoin Fund (FBTC) experienced $83.6 million in withdrawals, while the Grayscale Bitcoin Trust (GBTC) saw $54.9 million leave the fund. According to Farside Investors, all other US spot Bitcoin ETFs recorded zero net flows during the session, highlighting a bifurcated market where capital concentrated heavily in a select few dominant funds while leaving others neutral.
This sharp rebound comes on the heels of a challenging period for US spot Bitcoin ETFs, which had suffered through two consecutive weeks of net outflows on a weekly basis. Last week alone, the spot products shed approximately $229 million, following an even steeper loss of $681 million the week before. The downward trend was punctuated by a severe market correction earlier in the month, when the funds bled $483.9 million on Oct. 7—marking the largest single-day withdrawal for the asset class since June.
Despite the encouraging momentum and the substantial capital injected on Monday, the broader monthly performance remains in the red. Market trackers note that US spot Bitcoin ETFs are still sitting roughly $88 million in negative territory for the month of October as a whole, reflecting the depth of the capital flight experienced during the earlier weekly downturns.
While Bitcoin investment vehicles managed to secure a major victory on Monday, the story was quite different across the aisle for products tied to the second-largest cryptocurrency by market capitalization. US spot Ether ETFs moved in the opposite direction, recording $103.3 million in net outflows on Monday. The downward pressure on Ether funds was similarly concentrated, led primarily by $95.4 million in withdrawals from BlackRock’s own iShares Ethereum Trust (ETHA).
The losses on Monday extended a troubling streak for Ether investment products. Ether funds shed approximately $320 million last week, marking their third consecutive week of net withdrawals and highlighting a persistent divergence in investor sentiment between Bitcoin and Ethereum institutional products. This week’s crypto market activity also follows broader corporate and product adjustments within the ETF ecosystem, including recent maneuvers by firms like VanEck, which sought to withdraw its application for a Lido staked Ether ETF amidst evolving regulatory and market considerations.
As the cryptocurrency markets continue to navigate shifting macroeconomic conditions and fluctuating institutional appetite, the performance of spot exchange-traded funds remains a critical barometer for institutional engagement. While Monday’s $526.7 million surge demonstrates that heavyweight buyers are still willing to deploy capital aggressively during market dips, the ongoing monthly deficit and the continued outflows from Ether funds suggest that caution and volatility remain defining characteristics of the current crypto ETF landscape.
