Bitcoin (BTC) and Ethereum (ETH) spot ETFs are experiencing rapid and repeated inflows and outflows, indicating that the market remains in a "risk-averse" phase. In contrast, trading in ETFs related to Solana (SOL) and Ripple (XRP) is relatively quiet, showing a significantly weaker market preference for Altcoin.
According to data from SoSoValue, Bitcoin ETFs saw a net inflow of $471.3 million on April 6th alone last week, the largest single-day inflow since early March. BlackRock's iShares Bitcoin Trust (IBIT) attracted the most funds, reaching $181.9 million; Fidelity's FBTC also saw an increase of $147.3 million.
However, the market sentiment shifted in the following two days. On April 7th and 8th, outflows of $159.05 million and $125.55 million respectively occurred, marking consecutive net outflows. The market had initially expected the US-Iran ceasefire statement to stimulate risk asset appetite, but ETF funds actually flowed out first. Subsequently, as geopolitical tensions eased on the 9th and 10th, a net inflow of over $598.5 million occurred again; however, by the 13th, it had reversed to a net outflow of $291.1 million.
The Ethereum ETF exhibited similar volatility. It saw inflows of $120.24 million on April 6th, the highest since March 17th, but experienced an outflow of $83.3 million just two days later. Subsequently, it saw net inflows for three consecutive trading days, with over $159.5 million entering the market again. The synchronized fluctuations in fund flows between the Bitcoin (BTC) and Ethereum (ETH) ETFs are interpreted by analysts as reflecting investors adjusting their positions based on macroeconomic variables and changes in supply and demand.
The XRP ETF and Solana (SOL) ETF have had a relatively weak presence. The XRP ETF's weekly net inflows remained around $13.8 million, while the Solana ETF only recorded $11.69 million. After experiencing zero inflows on April 6th and 8th, the XRP ETF only saw an inflow of $9.09 million on the 10th; the Solana ETF also saw an inflow of $11.45 million on the 10th, representing a temporary rebound. Overall, however, this is interpreted as a signal that market demand for Altcoin ETFs remains limited in the face of highly volatile market conditions.
The rise of the South Korean won against the US dollar to 1473.50 won per dollar could also put pressure on investor sentiment. As long as the dollar strengthens and geopolitical uncertainty persists, even if inflows centered on Bitcoin (BTC) and Ethereum (ETH) are sustained, Altcoin ETFs like Solana (SOL) and XRP are likely to maintain a more cautious liquidity stance in the short term.
