- Ethereum ETFs performed better than Bitcoin ETFs and attracted $ 420 million into the inflow in early February.
- The market volatility rises in the midst of tariff war, deep disturbance and shifting ETF flows.
The cryptomarkt remains in a state of uncertainty, without clear bullish or bearish, largely as a result of increased volatility.
This is all due to two major events that have contributed to this turbulence – the current rate war and the disruption caused by Deepseek in the crypto space.
As an addition to the uncertainty, former US President Donald Trump recently announced plans for ‘mutual rates’ in several countries, with further details expected before 10 or 11 February.
So, with the increase in global economic tensions, the cryptocurrency market has worn the impact, which reflects the wider instability that forms the financial markets.
Impact on Bitcoin ETFs
In the midst of continuous market turbulence, the place Bitcoin [BTC] ETF sector has also experienced significant fluctuations.
According to the latest data from Distant investorsSpot BTC ETFs saw an inflow of $ 171.3 million on 7 February, after a sharp outflow of $ 140.2 million the previous day.
Leading the inflow was BTCO from Invesco, who attracted $ 59 million, followed by FBTC from Fidelity with $ 52.5 million.
Blackrock’s IBIT and Vaneck’s Hodl saw almost identical inflow of $ 21.9 million and $ 21.8 million respectively.
In the meantime, some ETFs, including GBTC from Grayscale, continued to stagnate with zero registered flows, which emphasized the uneven investor sentiment in the sector.
This was in accordance with Bitcoin trade in the Green at $ 97,823.02, at the time of press. This meant an increase of 1.12% in the last 24 hours, according to Mint market cap.
What about Ethereum ETFs?
Meanwhile, Ethereum [ETH] ETFs, who had retained a consistent intake streak since 30 January, registered zero flows for the first time, according to Distant investors.
This coincided with ETH trade in red at $ 2,657.87, at the time of press. This reflected a marginal decrease of 0.06%, as per Mint market cap.
The contrasting trends underline how Ethereum ETFs have drawn increased attention, even if Bitcoin leads in price movement.
In the first week of February ETH ETFs exceeded their BTC opposite hangers, where the inflow reached $ 420 million compared to the $ 173 million of Bitcoin ETFs, according to data from SOSo value and Farside investors.
However, analysts at Coinbase, including David Han and David Duong, suggest that the trend is largely fed by institutional players who deal with ETH ‘basic trade’.
Therefore, while the market navigates on continuous volatility, the rising fame of ETF space signals a possible shift in investor strategies, which forms future market dynamics.
