US Bitcoin and Ether ETFs Rebound as Powell Signals Rate Cuts

in #powell4 days ago

After a rough start to the week, US spot Bitcoin and Ether ETFs bounced back strongly on Tuesday as Federal Reserve Chair Jerome Powell hinted that rate cuts could arrive before the end of the year.

According to data from SoSoValue, Bitcoin ETFs saw $102.6 million in net inflows, reversing a massive $326 million outflow the previous day.

  • Fidelity’s Wise Origin Bitcoin Fund (FBTC) led with $132.7 million in inflows.
  • BlackRock’s iShares Bitcoin Trust (IBIT) saw a smaller outflow of $30.8 million.

Total Bitcoin ETF assets have now reached $153.5 billion, representing 6.8% of Bitcoin’s market cap — a strong indicator of growing institutional confidence.

Meanwhile, Ether ETFs also turned positive with $236.2 million in inflows after Monday’s $428 million exit.

  • Fidelity’s Ethereum Fund (FETH) topped the list with $154.6 million, followed by Grayscale and Bitwise.

Powell’s comments at the National Association for Business Economics conference revealed that the Fed may soon end its balance sheet reduction (quantitative tightening) and begin cutting rates as the US labor market cools.

“An October rate cut will have markets taking flight, with crypto and ETFs seeing liquidity flow and sharper moves,” noted Vincent Liu, CIO of Kronos Research.

Despite the recent crypto crash caused by renewed US–China tariff tensions, crypto investment products have shown resilience, adding $3.17 billion in inflows so far in 2025 — already above last year’s total.
This reflects the continued confidence among investors that digital assets will benefit from a softer monetary environment and increasing global liquidity.


📈 Crypto markets seem ready to rise again — fueled by lower rates, renewed demand, and a return of optimism to ETFs.

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