- Bitcoin ETFs see $363M outflows, dragging assets under $150B.
- Ether ETFs face $76M withdrawals after brief inflow streak.
- Powell’s speech, strong dollar, and yields weigh on crypto outlook.
Spot Bitcoin and Ether exchange-traded funds (ETFs) recorded large outflows on September 23, which indicates heightened caution ahead of Federal Reserve Chair Jerome Powell’s remarks later today. According to data from Farside Investors, Bitcoin ETFs faced $363.1 million in net withdrawals, the largest outflow of the month.
Fidelity’s FBTC registered the largest decline with $276.7 million leaving the fund. Ark 21Shares’ ARKB followed with $52.3 million in outflows, while Grayscale’s GBTC saw $24.6 million withdrawn. VanEck’s HODL recorded $9.5 million in outflows. The cumulative withdrawals dragged total assets under management for spot Bitcoin ETFs back below the $150 billion mark.
Ether ETFs also saw renewed pressure after two inflow sessions. Total withdrawals reached $76 million, led by Fidelity’s FETH at $33.1 million. Bitwise’s ETHW posted $22.3 million in outflows, while BlackRock’s ETHA followed with $15.1 million.
Fed Policy Expectations
Attention now turns to Powell’s upcoming speech, with markets closely monitoring his remarks for clarity on future interest rate policy. At his last Federal Open Market Committee (FOMC) press conference, Powell reiterated that policymakers are in no rush to accelerate cuts. The central bank expects to lower rates by another 50 basis points before the end of 2025 and a further quarter point in 2026.
Newly appointed Governor Stephen Miran remains the sole Fed official to signal support for a larger 50-basis-point cut, while other policymakers have expressed caution. Meanwhile, JPMorgan CEO Jamie Dimon warned that cuts are unlikely unless inflation shows a sharper decline, adding to market concerns about economic resilience.
Market Reaction
The anticipation of Powell’s speech comes as the U.S. Dollar Index holds at 97.40 and the 10-year Treasury yield remains near 4.15% after several sessions of rapid gains. Strength in the dollar and bond yields has contributed to more cautious positioning in risk assets, including cryptocurrencies.
Gold prices have risen following the most recent 25-basis-point Fed cut, but Bitcoin has struggled to sustain upward momentum. At the time of writing, Bitcoin traded just above $113,000, with a 24-hour range between $111,591 and $113,507. Analysts noted that a break below $110,000 would test market sentiment further. Ether, meanwhile, hovered close to its $4,200 support level, moving sideways as traders weighed ETF flows against macroeconomic signals.
