On October 9, 2025, a notable divergence in institutional investment played out, with capital rotating from Ethereum ETFs back into Bitcoin funds. This shift highlights the dynamic and sometimes fickle nature of institutional crypto allocation, even during a broadly bullish period like “Uptober”.
Bitcoin ETFs Maintain Momentum
Bitcoin ETFs solidified their dominance, extending a nine-day inflow streak with a net addition of $197.8 million. This pushed the sector’s total net assets to approximately $164.79 billion.
The flow was led overwhelmingly by BlackRock’s iShares Bitcoin Trust (IBIT), which alone attracted $255.47 million in new investments. This demand helped propel Bitcoin’s price to a peak of $126,080 in October, with some analysts pointing to on-chain metrics that suggest a potential long-term runway toward $180,000 before conditions become historically overbought.
A Pause for Ethereum ETFs
In contrast, U.S. spot Ethereum ETFs saw their eight-day inflow streak, which had brought in nearly $2 billion, come to a halt. The funds experienced a net outflow of $8.7 million.
Despite the sector-wide pullback, BlackRock’s iShares Ethereum Trust (ETHA) proved resilient, drawing in $39.3 million. This was overshadowed by outflows from other issuers, including $30.3 million exiting Fidelity’s fund. This pause in inflows coincided with a price dip for Ethereum, which fell 2.3% to trade around $4,352.
Reading the Institutional Shift
This one-day divergence is likely a short-term rotation rather than a long-term trend reversal. It underscores several key behaviors of institutional money:
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Pursuit of Momentum: The strong, consistent inflows make Bitcoin ETFs a powerful narrative, attracting more capital in a self-reinforcing cycle.
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Strategic Rebalancing: After a significant eight-day inflow streak for Ethereum, some investors may have taken profits, causing a brief pause in the rally.
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Underlying Strength Remains: It’s crucial to view this single data point in context. Institutional holdings of Ethereum, through both ETFs and corporate treasuries, remain substantial at over 12 million ETH, accounting for about 10% of the entire supply. This suggests deep, long-term conviction in Ethereum’s ecosystem hasn’t vanished.
For treasury desks and institutional traders, days like October 9 highlight the importance of monitoring ETF flow data as a real-time barometer of institutional sentiment. While Bitcoin continues to cement its role as a core store of value, Ethereum’s outlook remains supported by major network upgrades on the horizon and its foundational role in the stablecoin and decentralized finance ecosystems.
