- US spot Bitcoin and Ethereum exchange-traded funds recorded nearly $1 billion in combined net outflows during the first eight days of October, signaling a pullback in investment demand as cryptocurrency prices came under pressure.
The funds lost a combined $986.3 million from October 1 through October 8, according to figures from Farside Investors cited in Cointelegraph's October 9 report. Bitcoin ETFs accounted for $407.4 million in net withdrawals, while Ethereum ETFs recorded $578.9 million in outflows over the same period.
The figures cover US spot funds and exclude the remaining trading sessions of October. They show that Ethereum investment products experienced larger cumulative withdrawals than Bitcoin funds during the period, despite Bitcoin's greater market capitalization.
The outflows followed several sessions of heavy redemptions, including more than $645 million in combined withdrawals on October 7. The latest figures add to concerns about institutional demand as investors assess interest rates, inflation and broader financial-market volatility.
Bitcoin and Ethereum ETFs Record Heavy Daily Outflows
Bitcoin ETFs recorded $244.1 million in net outflows on October 8, following $484.9 million in withdrawals the previous trading session. The October 7 total was the largest single-day outflow for Bitcoin funds since June 25.
Ethereum ETFs lost another $72.5 million on October 8, extending their outflow streak to eight consecutive trading sessions. The funds shed approximately $641.3 million from September 29 through October 8, according to the same Farside Investors data.
The latest daily withdrawals totaled $316.6 million across both asset categories. Ethereum funds accounted for the larger share of October's cumulative losses, with their $578.9 million in outflows exceeding Bitcoin ETFs' $407.4 million.
The figures highlight a change in fund flows after periods of strong institutional interest in digital assets. Spot ETFs provide investors with a way to gain exposure to Bitcoin and Ethereum through conventional brokerage accounts, but their daily flows can fluctuate as investors adjust their positions.
Outflows do not necessarily translate into an equivalent amount of immediate selling on cryptocurrency exchanges. Fund redemptions and the subsequent management of underlying holdings can involve different transactions. However, persistent withdrawals can indicate weaker demand for the investment products and may affect market sentiment.
Bitcoin's recent performance has also drawn attention to the relationship between fund flows and price movements. The cryptocurrency fell to approximately $80,427 on October 8 before recovering to around $82,500. The decline came amid broader pressure on risk-sensitive assets.
What the ETF Outflows Mean for the Crypto Market
The withdrawals have coincided with rising Treasury yields and renewed concerns about the interest-rate outlook. Higher bond yields can make relatively low-risk investments more competitive with assets such as Bitcoin, which do not generate interest income.
Bitcoin has increasingly responded to broader financial conditions, including monetary-policy expectations and changes in institutional investment demand. The recent pressure on Bitcoin from rising Treasury yields and ETF outflows reflects how these factors can overlap during periods of market uncertainty.
The latest figures also follow a broader shift in institutional flows. Earlier in the year, Bitcoin ETF withdrawals contributed to a market environment in which the cryptocurrency traded more closely with macroeconomic assets, as described in coverage of the impact of ETF outflows on Bitcoin.
The current outflow data alone does not establish whether investors are making a lasting move away from cryptocurrencies or temporarily reducing exposure. Daily fund flows can reverse, and changes in ETF demand are only one factor influencing prices alongside derivatives positioning, spot-market liquidity and wider economic developments.
Bitcoin has also faced additional scrutiny following the transfer of approximately $770 million in government-linked Bitcoin to Coinbase Prime. The movement prompted questions about potential selling, although the reported government Bitcoin transfer did not establish that the assets had been sold.
Investors will be watching whether Bitcoin and Ethereum ETFs return to net inflows in the coming sessions. A sustained recovery in fund demand could indicate renewed interest from investors, while continued withdrawals would point to ongoing pressure on these investment products.
For now, the combined $986.3 million in October outflows through October 8 underscores the scale of recent withdrawals from US spot Bitcoin and Ethereum ETFs. Whether the trend continues will depend on investor positioning, broader financial conditions and the willingness of buyers to return to the market.