Ethereum ETFs Lose $912 million as Bitcoin Gains $524 million in a Week

Paul

- Ethereum funds experience $912 million in outflows during September's first week.
- Bitcoin ETFs draw $524 million in inflows amid economic uncertainty, indicating a shift toward hard assets.
While publicly traded Ethereum (ETH) exchange-traded funds faced substantial outflows of $912 million during the first week of September 2025, Bitcoin (BTC) ETFs recorded inflows of $524 million, signaling a notable shift in institutional investment preferences. On September 8, 2025, Cointelegraph reported these trends, noting the data suggests that macroeconomic concerns are driving capital rotation toward assets perceived as safer.
Diverging Trends Between Bitcoin and Ethereum
According to the report, which cited CoinShares data, the divergence between Ethereum and Bitcoin funds underscores distinct investor strategies during turbulent economic times. Profit-taking and external pressures likely contributed to Ethereum’s sharp outflows. Conversely, Bitcoin's status as a "hard asset" akin to gold has bolstered its attractiveness, especially during periods of uncertainty.
Despite Ethereum’s noticeable decline, overall crypto market sentiment retains optimism, as total inflows for 2025 have already exceeded figures from 2024. However, crypto investment products saw a 27% drop in weekly trading volumes, reflecting temporary caution among participants.
Expert Perspectives on Institutional Capital Rotation
Industry professionals provided insights into these market dynamics. Jillian Friedman, COO of Symbiotic, characterized Ethereum's outflows as part of routine capital reallocation rather than waning interest. She emphasized that U.S. spot ETH ETFs still manage approximately $26 billion in assets under management, indicating sustained institutional engagement.
Vincent Liu, Chief Investment Officer of Kronos Research, elaborated on Ethereum’s positioning, noting a phase of profit-taking for the asset. This trend coincides with Bitcoin’s growing appeal among investors seeking stability in uncertain economic conditions.
Market Update
According to CoinMarketCap, Ethereum (ETH) was trading at $4,319.65 as of 19:09 UTC on September 8. Its 24-hour trading volume showed a 0.86% change.
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