U.S. spot bitcoin exchange-traded funds (ETFs) recorded another day of net outflows on Wednesday, with $120.24 million leaving the market. The outflow extended a losing streak to a second consecutive session, signaling a shift in investor capital allocation.
Ark & 21Shares' ARKB led the selling with a $77.98 million outflow. Grayscale's GBTC lost $27.22 million, while Blackrock's IBIT shed $19.53 million. Morgan Stanley's MSBT provided a partial offset by attracting $4.49 million. Trading volume across bitcoin ETFs reached $2.05 billion, while net assets closed at $99.33 billion.
According to Glassnode data, U.S. spot bitcoin ETFs have recovered from an $18 billion drawdown and are now approaching break-even, with the institutional cost basis emerging as a potential resistance zone.
Ether and Altcoins Attract Inflows
Ether ETFs moved into positive territory with $34.75 million in net inflows. Blackrock's staking ether ETF, ETHB, led the group with $22.94 million, followed by Blackrock's ETHA with $9.71 million and 21Shares' TETH with $2.10 million. Trading activity in ether ETFs reached $852.09 million, with net assets at $15.69 billion.
XRP ETFs added $12.29 million, with Bitwise's XRP fund attracting $9.30 million and Grayscale's GXRP adding $2.98 million. Net assets for XRP ETFs closed at $1.51 billion. Solana ETFs drew $11.73 million, with Bitwise's BSOL accounting for $11.18 million and Morgan Stanley's MSOL adding $558,150, leaving net assets at $1.44 billion.
HYPE ETFs moved lower with $5.29 million in net outflows, all from Bitwise's BHYP.
Institutional Interest Remains Strong
Bitwise Chief Investment Officer Matt Hougan expressed confidence in future inflows, stating that the fourth quarter is expected to bring major ETF flows as institutions gain approval to allocate to digital assets. He cited bitcoin, stablecoins, and tokenization as themes likely to attract billions of dollars in flows.
Wednesday's flows reflect a more selective market, with capital rotating away from bitcoin toward alternative digital assets.
