Spot crypto exchange-traded funds (ETFs) experienced a notable recovery toward the end of the week, marking a positive shift for Bitcoin, Ether, and Solana funds following a period marked by significant volatility and declines. On Friday, spot Bitcoin (BTC) ETFs reported a robust $238.4 million in net inflows, reversing a previous day that saw heavy redemptions. Leading this resurgence was BlackRock’s IBIT ETF, which accounted for $108 million of the inflows. Additional contributions from BITB, ARKB, and BTCO also helped bolster investor sentiment. Grayscale’s GBTC, which had previously suffered from consistent outflows, added $61.5 million, according to Farside Investors.
This rebound occurred after a tumultuous Thursday, during which the market witnessed outflows totaling $903 million, marking it as the largest outflow day in November and one of the biggest since these financial products debuted in January 2024. The wave of redemptions affected nearly every major issuer, with IBIT experiencing a loss of $355.5 million, FBTC seeing $190.4 million pulled, and GBTC reporting $199.4 million in outflows.
In a significant development, Ether (ETH) ETFs managed to break an eight-day streak of redemptions, attracting $55.7 million in inflows on Friday. This turnaround was primarily fueled by Fidelity’s FETH, which drew in an impressive $95.4 million. This positive shift followed an intense period from November 11 to 20, during which Ethereum funds had lost a combined total of $1.28 billion, representing one of the longest and deepest red streaks since their inception.
Furthermore, Solana (SOL) ETFs have been demonstrating impressive performance, outpacing the broader altcoin market. Since their launch, the five Solana funds collectively amassed $510 million in net inflows, with Bitwise’s BSOL leading the way at $444 million. Notably, these funds have now recorded a streak of 10 consecutive inflow days.
In response to fluctuating market conditions, Ether traders have hesitantly begun to add long positions. Despite Ether’s significant drop of 15 percent between Wednesday and Friday, liquidating approximately $460 million in leveraged long positions, there are indications that seasoned traders are gradually increasing their long exposure. Futures funding rates have risen from four percent to six percent, suggesting early signs of stabilization in the market, although bullish demand continues to exhibit some weakness.
