Bitcoin and Ether ETFs Draw Inflows as USDT Dominance Retreats

US-listed spot cryptocurrency ETFs give investors price exposure through conventional brokerage accounts, making their flows a closely watched gauge of institutional demand and risk appetite. Ether and XRP funds had attracted money for 12 and 11 consecutive sessions, respectively, before both runs ended. The reversal, alongside renewed demand for Bitcoin products, points to a rotation toward the market’s most liquid digital asset as cryptocurrency prices broadly retreated.

On Sept. 2, US spot Ether ETFs posted $48.08 million in net outflows after drawing $1.62 billion during their 12-session streak, according to SoSoValue. XRP ETFs lost $7.2 million, ending an 11-session run that attracted about $170 million. Bitcoin ETFs reversed a $236.5 million outflow the previous day with $101.2 million of net inflows, led by $115.45 million into BlackRock’s IBIT. Over seven days, Ether fell 3.4%, XRP 2.4% and Bitcoin 1.3%, CoinGecko data showed.

U.S.-listed spot bitcoin and ether exchange-traded funds offer institutional investors regulated exposure to the two largest cryptocurrencies, making their daily flows a closely watched gauge of market risk appetite. Bitcoin funds had recorded nine consecutive sessions of net inflows before that run ended, while ether products have attracted steadier demand since mid-August. The renewed buying suggests confidence in mainstream crypto investment vehicles is recovering after periods of volatile positioning.

Spot bitcoin ETFs returned to net buying on Monday, Aug. 31, drawing $217 million one session after their nine-day inflow streak was interrupted. BlackRock’s iShares Bitcoin Trust, known by its ticker IBIT, led the rebound. Ether ETFs also maintained their momentum, extending a run of 11 consecutive trading days without a net outflow since mid-August, the second-longest such streak on record. XRP and Solana investment products continued to attract capital as well.

U.S. spot bitcoin ETFs began trading in January 2024, with ether funds following in July, giving investors regulated exposure to the two largest cryptocurrencies without directly holding or safeguarding tokens. Their flows have since become a closely watched gauge of institutional demand, market liquidity and investors’ willingness to take risk through conventional brokerage accounts.

During the Aug. 3-7 week, U.S. spot bitcoin and ether ETFs attracted about $1.1 billion in combined net inflows, their strongest showing since April. Bitcoin funds took in $853.5 million, while BlackRock’s IBIT and ETHA captured about $896 million between them, accounting for more than 80% of the total. The rebound came as weak U.S. payroll data reduced expectations for another Federal Reserve rate increase.

The U.S. Securities and Exchange Commission cleared spot bitcoin exchange-traded products in January 2024, followed by spot ether funds that began trading that July, giving investors regulated brokerage access to the two largest cryptocurrencies. Daily creations and redemptions in products run by BlackRock, Fidelity, Grayscale and others have since become a key gauge of institutional demand and short-term risk appetite, particularly when crypto prices turn volatile.

On Wednesday, July 29, U.S. spot bitcoin ETFs posted $32.1 million in net inflows, ending four consecutive trading days of withdrawals. BlackRock’s iShares Bitcoin Trust (IBIT) led subscriptions, offsetting redemptions from Fidelity’s FBTC and the ARK 21Shares Bitcoin ETF (ARKB). Spot ether ETFs, by contrast, swung to $18.65 million in net outflows. The divergence came as bitcoin and ether edged lower, suggesting demand for bitcoin-linked funds recovered despite the modest pullback in token prices.

Spot cryptocurrency ETFs have become an important gateway for traditional institutional investors seeking exposure to digital assets, with fund flows offering a direct gauge of Wall Street’s risk appetite and confidence in cryptocurrencies. After several weeks of weak flows, the market has recently shown signs of a reversal. Daily net flows into and out of spot bitcoin and ether ETFs have therefore become key indicators of the crypto market’s short- and medium-term direction and institutional activity.

U.S. spot bitcoin ETFs recorded net outflows of $85 million on Wednesday, July 8, 2026, ending a three-day inflow streak, according to market data. Spot ether ETFs bucked the trend with $70.5 million in net inflows, marking a fifth consecutive trading day of gains. Fidelity Investments’ ether fund, FETH, was the main driver, attracting as much as $69.2 million in a single day and underscoring strong buying support.

Hawkish signals from the U.S. Federal Reserve rapidly dimmed expectations for interest-rate cuts this year, prompting markets to reconsider even the possibility of a rate increase. Persistently high rates raise funding costs and reduce the appeal of risk assets. Flows into spot Bitcoin and Ether ETFs have therefore become an important gauge of crypto demand and the durability of the market’s rebound.

The latest data showed that U.S. spot Bitcoin and Ether ETFs recorded combined net outflows of $111 million on the Wednesday cited in the report. The withdrawals came as the Fed turned more hawkish and hopes for rate cuts evaporated, suggesting institutional investors were reducing their crypto exposure. The outflows also created a stronger headwind for the recent rebounds in Bitcoin and Ether prices.

The U.S. Securities and Exchange Commission approved spot Bitcoin and Ether ETFs in January and July 2024, respectively, giving investors access to crypto exposure through traditional brokerages. Creations and redemptions in these products affect fund holdings and market liquidity, making daily flows at major firms such as BlackRock and Fidelity an important gauge of institutional demand and pressure on crypto prices.

According to SoSoValue, spot Bitcoin ETFs recorded net inflows of $3.05 million on June 4, ending 13 consecutive days of outflows totaling more than $4.4 billion since mid-May. BlackRock’s IBIT attracted $47.66 million. Ether ETFs drew $19.3 million after 17 straight days of outflows, with the entire inflow coming from ETHA. Three HYPE ETFs launched on May 12 took in $12.15 million that same day, lifting their assets to $185 million. Each has posted net inflows every day since its debut.