US spot cryptocurrency exchange-traded funds (ETFs) experienced nearly $1 billion in net outflows on August 1 amid significant investor withdrawals across major digital assets.
Bitcoin ETFs accounted for the bulk of exits at $812 million, marking the largest single-day outflow recorded in five months. Simultaneously, Ethereum ETFs saw $153 million depart, abruptly ending a 20-day inflow streak that had amassed over $5 billion in capital.
This abrupt reversal follows July’s historic inflows of $12.8 billion, which averaged approximately $600 million per day and set an all-time monthly inflow record for US crypto ETFs. Analysts suggest the withdrawals likely represent profit-taking activities following July’s substantial market gains.
Notably, the outflows occurred despite recent positive regulatory developments including SEC Chair Paul Atkins’ ‘Project Crypto’ initiative, signaling that market dynamics rather than policy concerns drove the retreat.