Bitcoin ETFs Experience $1.2B Withdrawal, Schwab Maintains Optimism
Despite the significant outflow, Charles Schwab reports increased interest from clients in crypto-related investment products.
Bitcoin ETFs Experience $1.2B Withdrawal, Schwab Maintains Optimism
This week, Bitcoin exchange-traded funds (ETFs) in the United States recorded outflows exceeding $1.2 billion as Bitcoin’s value declined. However, investment firm Charles Schwab has observed a growing interest among its clients with 20% ownership in the crypto ETPs available nationwide.
According to reports, by Friday, spot Bitcoin ETFs cumulatively faced a $366.6 million outflow, marking a challenging week for Bitcoin-related investment products amid what some term a red week for the assets.
The iShares Bitcoin Trust from BlackRock noted the steepest outflow, experiencing a $268.6 million drop, as documented by SoSoValue. Other funds such as Fidelity’s and Grayscale’s also faced noticeable losses.
In total, the week recorded a significant $1.22 billion exit despite one minor influx earlier in the week. The drop in Bitcoin’s price—a fall of over $10,000—has pushed the asset down to approximately $104,000, a price unseen for four months.
Spot Bitcoin ETFs see red this week. Source: SoSoValue
Schwab’s Bullish Perspective
Charles Schwab’s CEO, Rick Wurster, expressed confidence in the future of crypto exchange-traded products (ETPs), stating that their clients engage significantly with the sector. He revealed that interactions with the company’s crypto platform have surged by 90% over the last year.
“It’s a topic that’s of high engagement.”
In further developments, Schwab, which is recognized as one of the largest brokerages in the U.S., also emphasizes that it provides crypto ETFs and Bitcoin futures and is planning to introduce spot trading for cryptocurrencies by 2026.
Schwab CEO Rick Wurster talks crypto ETFs. Source: Nate Geraci
A Challenging October for Bitcoin
Despite historical gains in 10 out of the last 12 Octobers, Bitcoin has faced a 6% loss thus far this month according to CoinGlass. Analysts remain hopeful that the latter half of the month will recover, driven partly by expected Federal Reserve rate cuts that could reignite bullish momentum.
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