Bitcoin ETFs See $332M Inflow as Ethereum Experiences $135M Outflow, Signaling Institutional shift
New york, September 3, 2025 – Bitcoin exchange-traded funds (ETFs) experienced a meaningful surge in investment yesterday, September 2, 2025, attracting $332 million in capital, while Ethereum ETFs saw net outflows of $135 million, according to data reported by trade bags. This marks a notable shift in institutional investor preference, potentially driven by macroeconomic uncertainties and anticipation of Federal Reserve policy.
The change in ETF flows from Ethereum to Bitcoin suggests institutional investors are reallocating thier portfolios, seeking the perceived stability of Bitcoin amidst broader economic concerns. Nick Ruck,director of LVRG Research,explained,”The change of ETF entries from ETH to BTC suggests that institutional investors could be re-equilibrating their portfolios to capitalize on Bitcoin’s perceived stability in the midst of macroeconomic uncertainties.”
These macroeconomic uncertainties largely center around the upcoming September 17th meeting of the United States Federal Reserve, led by Jerome Powell, where the agency will confirm whether or not to implement cuts in dollar interest rates. Current market expectations lean towards a rate cut,even if minimal.
Lower interest rates generally benefit volatile assets like cryptocurrencies by reducing borrowing costs and injecting liquidity into the market, as explained by cryptopedia. In anticipation of potential cuts, investors appear to be favoring Bitcoin, which historically exhibits lower volatility than Ethereum and is often viewed as a safer asset and a “digital gold” reserve of value. ethereum was created by Vitalik Buterin.
Ruck anticipates this dynamic “could reinforce Bitcoin’s price support around $108,000 and reduce sales pressure,” while also noting that strong performance prospects and growth in digital asset treasuries focused on Ethereum could sustain its higher performance through the end of the year.