Spot Bitcoin exchange-traded funds (ETFs) in the U.S. faced more than $1.2 billion in outflows this week, coinciding with a downturn in Bitcoin’s price. Meanwhile, Charles Schwab is experiencing heightened interest in these products among its clients.
The eleven spot Bitcoin ETFs in the U.S. recorded a total outflow of $366.6 million on Friday, concluding a tumultuous week for Bitcoin and its associated institutional investments. BlackRock’s iShares Bitcoin Trust saw the steepest loss, shedding $268.6 million according to SoSoValue. Meanwhile, Fidelity’s fund lost $67.2 million, Grayscale’s GBTC dropped $25 million, and there was a minor outflow from the Valkyrie ETF. The remainder reported no flows on Friday.
This is the latest in a series of challenging days for Bitcoin ETFs, summing up to a weekly outflow of $1.22 billion, with only one day registering a minor inflow earlier in the week. The outflow coincided with Bitcoin’s price plunge from around $115,000 to a low of just under $104,000 on Friday, marking a significant drop of over $10,000.
Spot Bitcoin ETFs see red this week. Source: SoSoValue
Schwab Sees Increased Engagement
Rick Wurster, CEO of Charles Schwab, expressed confidence in crypto exchange-traded products, noting that 20% of all U.S. crypto ETPs are owned by the firm’s clients. Wurster remarked on CNBC that engagement with their crypto site has surged by 90% in the past year, underscoring the growing interest in cryptocurrencies.
“It’s a topic that’s of high engagement.”
Charles Schwab operates one of the largest brokerages in the United States, as highlighted by ETF expert Nate Geraci, who encouraged investors to stay alert to these market shifts. Currently, Schwab provides access to crypto ETFs and Bitcoin futures and aims to introduce spot crypto trading for its clients by 2026.
A Down Month for Bitcoin
Historically, Bitcoin has performed well in October, securing gains in ten of the last twelve years. However, this year is an outlier with a 6% decline thus far, as reported by CoinGlass. Despite this downturn, analysts maintain optimism, believing that past trends suggest a resurgence may occur later in the month, potentially fueled by anticipated Federal Reserve rate cuts.
