Ether ETFs are bleeding for a second straight week just as Bitcoin ETFs roar back into favor — a stark rotation that raises one urgent question for traders: what are institutions seeing that retail isn’t? With **$243.9M** in weekly outflows from spot Ether funds and **$446M** pouring into spot Bitcoin products, positioning is shifting fast toward the **“digital gold”** narrative amid hopes for monetary easing and a risk-on rebound.

What’s happening now

Spot Ethereum ETFs posted their second consecutive week of net outflows, tallying **$243.9M** in redemptions after last week’s **$311M**. On Friday alone, Ether funds shed **$93.6M**, led by BlackRock’s **ETHA** with **$100.99M** in outflows, while Grayscale’s **ETHE** and Bitwise’s **ETHW** saw minor inflows.

Meanwhile, spot Bitcoin ETFs recorded **$446M** in net inflows this week, including **$90.6M** on Friday. BlackRock’s **IBIT** added **$32.68M** and Fidelity’s **FBTC** brought in **$57.92M**. IBIT and FBTC remain dominant with **$89.17B** and **$22.84B** in AUM respectively.

Why it matters to traders

Flows drive trend conviction. Sustained inflows into **BTC** funds signal renewed institutional appetite for **store-of-value** exposure, often a precursor to momentum continuation. Conversely, persistent outflows from **ETH** funds reflect cooling demand and softer onchain activity — a warning that ETH relative strength may lag until new catalysts emerge. In short: the **BTC-over-ETH** trade is back in play until the flow regime flips.

Key numbers at a glance

• ETH spot ETFs: -$243.9M weekly; cumulative inflows $14.35B; total net assets $26.39B (~5.55% of ETH market cap)
• BTC spot ETFs: +$446M weekly; cumulative inflows $61.98B; total net assets $149.96B (~6.78% of BTC market cap)
• Friday moves: ETH -$93.6M (ETHA -$100.99M), BTC +$90.6M (IBIT +$32.68M, FBTC +$57.92M)

Actionable edge: trade the rotation, manage the turn

• Pair trade: Consider a tactical long BTC / short ETH bias while flows favor Bitcoin. Monitor the BTC/ETH ratio and set invalidation at the most recent swing low in the ratio.
• Flow triggers: Track daily ETF flows (e.g., SoSoValue). A 3–5 day streak of net ETH inflows or slowing BTC inflows can signal rotation risk.
• Catalyst watch for ETH: Onchain activity (gas, active addresses, L2 volumes), staking dynamics, and any roadmap/catalyst updates. Without a fresh narrative, ETH may underperform.
• Macro alignment: If rate-cut odds rise, risk assets could broaden. Maintain a plan to scale back the pair trade on improving ETH breadth.
• Risk controls: Use tight stops and position sizing. Avoid overexposure into major macro prints or FOMC weeks; volatility clusters around policy shifts.

The macro angle

As Kronos Research’s Vincent Liu notes, institutions are doubling down on Bitcoin’s store-of-value qualities amid global uncertainty and growing hopes for monetary easing. That backdrop historically advantages BTC first; **ETH and alts** tend to follow only when network activity and speculative risk appetite re-accelerate.

Bottom line

Until ETF flows and onchain data say otherwise, the path of least resistance favors **BTC outperformance**. Stay nimble, trade the rotation, and be ready to pivot the moment ETH’s catalysts return.

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