Key insights:
- Bitcoin ETFs recorded $20.3 million in net inflows on October 23, signaling recovery after a volatile period of outflows.
- BlackRock’s IBIT led the Bitcoin ETF inflows, contributing $107.8 million in net gains, overshadowing outflows from other issuers.
- Ethereum ETFs continued to experience significant outflows, with $127.5 million redeemed on October 23, reflecting weak investor confidence.
Bitcoin exchange-traded funds (ETFs) experienced a positive turnaround on October 23, with a notable $20.3 million in net inflows. This marks a significant recovery after a turbulent period of investor sentiment, which saw a $101.3 million outflow the previous day. The renewed investor interest indicates a shift in the market’s mood, particularly following a larger $477 million influx on October 21.
BlackRock’s iShares Bitcoin Trust (IBIT) led the recovery, contributing $107.8 million in inflows, offsetting some of the losses from other ETF issuers. Despite Grayscale and Ark 21Shares facing notable redemptions of $60.5 million and $55 million, respectively, the overall demand for Bitcoin ETFs showed signs of stability. Other issuers, such as Fidelity’s FBTC and Bitwise’s BITB, also recorded modest inflows, underscoring a mixed but positive sentiment shift.
Bitcoin Prices Near $111K as Market Sentiment Shifts
Meanwhile, Bitcoin (BTC) has made a significant recovery, trading around $111,203, up 1.24% in the last 24 hours. The digital asset has successfully reclaimed the $110,000 level, which had previously acted as a resistance point earlier in the week. This upward momentum follows a dip to the $106,000 range, with BTC now eyeing potential gains towards the $115,000 mark.
This price movement comes after Bitcoin reached a weekly high of $113,940, though it briefly encountered resistance. The strong bounce above $110,000 positions Bitcoin to potentially challenge its recent high and push towards the next resistance zone at $115,800. The RSI, currently rising from oversold levels, further supports the bullish outlook, hinting at continued buying pressure.
Ethereum ETFs Continue to Struggle with Outflows
In contrast to Bitcoin’s ETF recovery, Ethereum ETFs faced ongoing outflows, with a combined $127.5 million in redemptions on October 23. This marked a continuation of the weak sentiment observed throughout the week, as investors hesitated to reenter the Ethereum market amid subdued trading volumes. The lack of inflows across all major Ethereum ETFs indicates that the digital asset faces more challenges compared to Bitcoin in the current market cycle.
The differing performance of Bitcoin and Ethereum ETFs highlights the uneven investor sentiment within the crypto space. While Bitcoin appears to be recovering steadily, Ethereum’s lack of inflows may signal ongoing uncertainty surrounding its market dynamics.
