Bitcoin ETFs Lose $679 Million in a Week as Markets Wait for Wednesday’s Inflation Report
A Rough Week for Bitcoin Funds
Bitcoin had a difficult week. Big investment funds that hold Bitcoin sold off heavily. In the five trading days ending Friday, October 9, US spot Bitcoin ETFs lost a net $678.9 million, according to data from Farside Investors.
Wednesday was the worst day. Investors pulled $484.9 million out of the funds in a single day. That was the biggest one-day exit since June. Thursday saw another $244.1 million leave. Friday brought a small relief, with $21.1 million flowing back in.
Fidelity’s FBTC fund took the hardest hit, losing $380.3 million over the week. BlackRock’s IBIT, the largest Bitcoin ETF, finished the week almost flat. It picked up $22.4 million on Friday, which made up for earlier losses.
Bitcoin’s price felt the pressure. Early Sunday, October 11, the coin was trading near $82,870. That is about 4.2% lower than the week before. The weekend was calm, though. On Saturday the price moved less than 1%, between $82,475 and $83,090.
Ethereum Funds Are Hurting Too
It was not just Bitcoin. Funds holding Ethereum had an even longer losing streak. Spot Ether ETFs recorded their ninth straight day of outflows on Friday, with $56.1 million leaving that day.
Across those nine days, investors withdrew nearly $697 million from Ethereum funds. Ether was trading near $2,500 on Sunday. Solana’s ETFs also finished October in the red so far, down $24.8 million after five days of outflows.
Why Investors Are Nervous
The fear has little to do with crypto itself. It is about the wider economy. Minutes from the latest US Federal Reserve meeting showed that most officials expect another interest rate rise before the end of the year. Higher rates usually push investors away from risky assets like crypto.
Oil prices are high, and bond yields are climbing too. Both add to the worry. Now everyone is waiting for one number: the US inflation report for September, due Wednesday, October 14. Experts expect headline inflation of around 3.7%. A hotter number could send prices lower. A cooler number could bring buyers back.
Crypto markets also face a busy calendar. Tokens from Aptos and Arbitrum are set to unlock this week, which can add selling pressure. A $1.25 billion batch of Bitcoin options expires on Friday.
One Bright Spot: XRP’s Big Day Tomorrow
Not all the news is gloomy. On Monday, October 12, a company called Evernorth is set to start trading on the Nasdaq stock exchange under the ticker XRPN. The listing was originally planned for October 8 but was pushed back over a technical delay.
Evernorth is the largest public holder of XRP, with 473 million coins on its books. Its backers include Ripple, the Japanese financial giant SBI Group, the fund Pantera Capital, and the exchange Kraken. Unlike a normal ETF that just sits on its coins, Evernorth plans to put its XRP to work in trading and lending on the XRP network.
What to Watch This Week
The next few days will be telling. Wednesday’s inflation report is the main event. If the number comes in cool, Bitcoin and Ethereum funds could see money flow back in. If it runs hot, the outflows may continue.
For now, the market is in wait-and-see mode. The big money has stepped back, and it is waiting for a reason to step back in.