Bitcoin ETFs Face Major Withdrawals Amid Middle East Tensions
Institutional investors have reacted cautiously to escalating tensions in the Middle East, leading to significant withdrawals from U.S. spot Bitcoin exchange-traded funds (ETFs).
On October 1, nearly $243 million left these funds, marking the highest outflow in almost a month, according to Farside Investors. This followed a previous outflow of $288 million recorded on September 3.
The total outflow on October 1 was the third-largest in five months, reversing a recent trend where inflows had reached $494 million by September 27.
The Fidelity Wise Origin Bitcoin Fund experienced the largest single-day outflow, totaling $144.7 million, while the ARK 21Shares Bitcoin ETF saw a loss of $84.3 million.
READ MORE: Bitcoin’s Rally Could Precede a Correction, Analysts Warn
Other notable outflows included $32.7 million from the Bitwise Bitcoin ETF and $15.8 million from the VanEck Bitcoin ETF. In contrast, the BlackRock iShares Bitcoin Trust was the only fund to post gains, attracting $40.8 million.
On the same day, Bitcoin’s price dropped nearly $4,000 due to Iran’s missile strike on Israel, reaching a two-week low of $60,315 before recovering slightly. Meanwhile, U.S. spot Ether ETFs also saw outflows, totaling $48.6 million, led by Grayscale’s Ethereum Trust, which lost $26.6 million.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
