Crypto Market Bleeds Red as ETF Inflows Stay Strong Despite Uncertainty

The cryptocurrency market experienced a decline in value on September 23, but a different story played out in the Exchange-Traded Funds (ETF) sector. While the prices of Bitcoin, Ethereum, XRP, and Solana fell, investors continued to pour money into these funds.

According to CoinGecko data, the global crypto market cap dropped to $2.95 trillion, a 3.7% decline in 24 hours. Trading volume reached $122 billion for the day, with Bitcoin's dominance holding at 57.3% and Ethereum's at 11.1%. Despite this red backdrop, the ETF sector recorded inflows, a trend that has been observed in recent days.

BlackRock led the charge in Bitcoin ETF inflows, contributing $166.29 million, followed by Fidelity with $143.24 million. This influx of money pushed the cumulative total net inflow to $57.22 billion, accounting for 6.42% of Bitcoin's market cap. The daily total net inflow reached $346.98 million on September 23.

Ethereum also marked its fourth consecutive day of inflows, with a daily total net inflow of $104.63 million. This brought the cumulative total net inflow to $13.79 billion, representing 5.37% of Ethereum's market cap. Grayscale followed BlackRock in contributing $41.28 million to Ethereum ETF inflows.

Looking ahead, trade policy uncertainty between the US and China may continue to impact the crypto market. The two nations have agreed to extend their trade deal until January 10, 2027, but the future of this agreement remains uncertain.