On July 27, U.S. crypto ETFs showed a clear divide as Bitcoin funds shed $11.64 million while Ethereum products gained $9.23 million, reflecting a split in investor appetite between the top two cryptocurrencies.
BlackRock’s iShares Bitcoin Trust (IBIT) was the main contributor to Bitcoin’s outflows, losing $8.82 million on the day. In contrast, its iShares Ethereum Trust (ETHA) attracted $11.75 million, offsetting losses in other Ethereum funds.
These numbers indicate investors were rotating capital rather than abandoning digital asset funds altogether, revealing differentiated demand for Bitcoin and Ether right before the Federal Reserve’s rate decision.
Bitcoin’s price dropped roughly 2.7% to near $63,500 on July 28, slipping from the recent brief surge above $66,000. The decline coincided with the ETF withdrawals, which followed seven days of inflows that had helped Bitcoin approach $67,000.
Meanwhile, Ethereum funds continued drawing investor interest, supported by SEC approvals that had allowed spot Ether products to launch on national securities exchanges earlier this year, following the green light for spot Bitcoin ETFs in January 2024.
Despite softer institutional demand, lower exchange reserves suggest holders are still removing coins, adding complexity to market signals.
The ETF activity offers a snapshot of shifting strategies, with capital flowing between Bitcoin and Ethereum products rather than a uniform trend across crypto funds.
This content is for informational purposes only and does not constitute financial advice.
