After a phase of flows consisting of funds quoted in exchange of Ethereum Spot (ETF), investors are taking a break. This cooling period occurs when Ethher (ETH) looms around 15% of its recent maximum of all time (ATH), and BTC remains in a range between $ 108,000 and $ 113,000.
Bitfinex cryptocurrency exchange analysts revealed that Ethereum Etfs has just registered their second larger day departure since its launch.
ETF Ethereum tickets cool
According to the Bitfinex Alpha report this week, the average 14 days of net flows in Bitcoin and Ethereum ETF highlights the important role that these products have played in recent price action. Between May and August, daily assignments from 55,000 to 85,000 Eth a Ethereum ETFS brought the cryptocurrency to new maximums. However, the deceleration demand in the last two weeks has contributed to a slowdown in the impulse.
The flows to these Ethereum products fell to 16,600 daily in the last week of August. They denied even more an average of -41,400 ETH last week. On Friday, 104,100 ETH, with an approximate value of $ 447 million, left Etfs Ethereum, marking the second highest departure from the beginning.
Bitfinex said the BTC and ETH price action has become increasingly dependent on ETFs and treasure companies. Although ETH shows a relatively higher dependence, the ETFs for both assets currently reflect a setback in the purchasing power of traditional finance (tradfi).
“This deceleration highlights the sensitivity of institutional demand to price and macroeconomic conditions, and reinforces the role of ETF flows as a decisive determinant of whether digital assets can recover an ascending impulse or remain in reach in the short term,” the report said.
BTC to mark the cyclic under this month
In addition, the structure of the traditional demand between the Bitcoin and Ethereum ETF has deviated significantly. This is seen comparing cumulative ETF flows with biweekly changes in open futures for both assets.
The data accessed by analysts show that investors have mainly expressed the demand for BTC through direct exposure to the point instead of futures positioning. ETH, on the other hand, combines specific assignments with “cash and transport strategies.”
“The result is a different profile of institutional participation, while BTC flows reflect a clearer directional conviction, ETH flows highlight a balance between speculative demand and structured participation driven by arbitration,” the analysts added.
Meanwhile, Bitfinex insists that, although BTC still faces the risk of a deeper correction in the short term, the asset could mark a cyclical minimum in September before a rally the next quarter.
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