Ethereum Spot ETFs See $197M Outflows, Bitcoin Loses $122M

Ethereum spot ETFs faced significant pressure on August 18, recording $197 million in net outflows. This marked the second-largest daily withdrawal in the asset’s history. Leading the decline, BlackRock’s Ethereum Trust (ETHA) reported $87 million in withdrawals, while Fidelity’s FETH saw $78 million exit.

Grayscale’s ETHE also posted $18.7 million in outflows, adding to the downward trend. VanEck and Franklin followed with smaller but notable redemptions. The pullback reflects investor caution as Ethereum struggles to maintain momentum after recent price swings.

Bitcoin ETFs Also Experience Pressure

Bitcoin spot ETFs were not spared, with $122 million in net outflows the same day. Most issuers recorded losses, except Bitwise’s BITB, which registered modest inflows. The divergence underscores investor preference for select funds even during market-wide weakness. The recent outflows underline how fragile confidence remains in digital assets. Traders are pulling back and rethinking exposure after months of volatility. Even with rising institutional interest, Bitcoin and Ethereum ETFs remain sensitive to changes in market mood.

Market Snapshot and Fund Performance

Across U.S. exchanges, Ethereum ETFs closed lower. It is mirroring broader market weakness. ETHA dropped 0.54% to $32.97, while Fidelity’s FETH slipped 0.66% to $43.51. Grayscale’s ETHE fell 0.77%, trading at $35.94 by market close. Trading activity remained strong despite the pullback. ETHA posted $1.41 billion in daily value traded, reflecting heavy repositioning. 

Grayscale’s funds also saw over $200 million in daily turnover. Investors appear to be rebalancing rather than abandoning exposure entirely. Bitcoin ETFs displayed similar patterns. While redemptions dominated, liquidity stayed robust across major funds. Analysts note that sharp inflows or outflows have become common as traders react quickly to price moves.

Investor Outlook Remains Mixed

The latest withdrawals show investors remain cautious toward digital asset ETFs. Ethereum’s $197 million outflow highlights concerns about near-term performance, even as long-term adoption trends continue. For Bitcoin, the $122 million loss suggests hesitation but not wholesale retreat. Bitwise’s ability to secure inflows indicates some funds maintain investor trust.

Analysts expect more swings as crypto ETFs react to regulatory shifts and global conditions. Both Ethereum and Bitcoin remain under pressure after sharp withdrawals. Investors now wait to see if sentiment steadies in the coming weeks.