Bitcoin ETFs Face Outflows, But BTC Price Hints at a Potential Reversal; Ethereum Takes the Spotlight

Following Donald Trump's victory as the 47th President of the United States, Bitcoin [BTC] experienced an unprecedented bull run.

Bitcoin [BTC] exchange-traded funds (ETFs) experienced outflows for four consecutive days, beginning 19th December. This follows a period of massive inflows, signaling a change in investor sentiment.

According to the latest data from Farside investors, on 24th December, BTC ETFs saw outflows totaling $338.4 million, with major players driving these withdrawals.

BlackRock’s IBIT ETF experienced outflows of $188.7 million, followed by Fidelity’s FBTC ETF with $83.2 million, and ARK 21Shares’ ARKB ETF with $75 million.

While other ETFs reported zero activity, Bitwise’s BITB ETF stood out with inflows of $8.5 million.

This shift aligns with a broader market trend, as institutional interest waned amid predictions of a potential market slowdown following Trump’s inauguration on 20th January 2025.

However, Bitcoin’s latest price movements indicate a potential recovery. BTC was trading at $98,052.98, up 4.18% in the past 24 hours, suggesting a reversal of fortunes for Bitcoin ETFs.

On the other hand, spot Ethereum ETFs recorded inflows of $53.6 million, indicating a preference for Ethereum among investors in the current market climate.

As the year draws to a close, the market remains uncertain, but signs of recovery hint at a strong finish.