August for the cryptocurrency market was not the most pleasant. In particular, Bitcoin fell in price by 8.6 percent, Efirium collapsed by 22.2 percent, and Solana fell in value by 14.3 percent.

Changes in the Etherium ETH exchange rate by month

Despite this, experts are also wary of what is happening in September, which is not usually happy with growth. As you can see in the chart below, this month is the worst in terms of average returns – it stands at -4.39 percent.

Bitcoin BTC exchange rate changes by month

Against this backdrop, the Bitcoin Investor Fear and Greed Index continues to be in the fear zone. Today, it is rated at 26 points out of 100, indicating their reluctance to open new trading positions.

Bitcoin Investors Fear and Greed Index

Will there be a new Bitcoin collapse?

The world’s largest investment company and a leading issuer of cryptocurrency ETFs called BlackRock was the only one to record inflows into its fund last week. The iShares ETF attracted more than $219 million in a few days, meaning that representatives of the giant purchased bitcoins for the said amount.

Inflows and outflows of funds from spot Bitcoin ETFs

According to Decrypt’s sources, $4 million was withdrawn from the instruments of CoinShares itself. Analysts at the company said that the reason for the predominantly negative market sentiment was the strong US economic data. Here is a quote on the matter.

We believe this was driven by stronger economic reports against expectations. The likelihood of a 50 basis point interest rate cut in September decreased.


We have refined the current data: as of now, the probability of a minimum 25 basis points cut in the benchmark interest rate during the September 18 FOMC meeting is estimated at 69 per cent. At the same time, the chances of a larger 50 basis point cut are 31 per cent.


Inflows and outflows of funds on crypto-based investment instruments

Experts added that cryptocurrencies in general will become “increasingly sensitive” to rate expectations. Investors have been waiting for it to be cut by US Federal Reserve officials since the central bank raised them to a two-decade high in 2022, with the current rate level holding since July 2023.

Either way, two weeks later, the Fed will cut rates. An optimistic hint in this regard was previously made by the head of the agency Jerome Powell, who confirmed the need to change the policy of bankers in relation to the markets.

Crypto belongs to the category of assets with high risk, that is, it is more exposed to price fluctuations against the background of other investments. In a high interest rate environment, cryptocurrencies may become less attractive to investors, as holding capital in safer sources like Treasury bills brings relatively good returns, but such instruments are much more stable.

And just as the base interest rate falls, the attitude towards crypto and other such assets will improve.

Inflows and outflows by asset

On Friday, the U.S. Commerce Department reported that the personal consumption goods price index rose 0.2 percent for the month and 2.5 percent from a year ago, as analysts had expected. However, markets generally do not believe the data could prompt the Federal Reserve to cut interest rates by 50 basis points.

Inflows and outflows by region

The CoinShares report also noted that investors in Europe were also actively withdrawing from cryptocurrency funds. At the same time, investment funds investing in Efirium lost a total of $5.7 million.

Recall, trading in spot ETFs based on Efirium began in the United States at the end of July. Alas, at least for the moment, they failed to attract the proper attention of investors. For example, on Friday, 30 August, such instruments recorded zero outflows and inflows, i.e. capital holders did not interact with them at all.

And this is how the ratio of trading volumes with spot ETFs for Bitcoin and Efirium in the U.S. looks like, in addition, the arrow on the chart marks the moment of the start of trading in ETH-based instruments. The indicator is decreasing, which indicates that investors are much more interested in Bitcoin instruments.

Ratio of transactions with spot ETFs for Bitcoin and Efirium in the U.S.

Despite the large outflows over the past week, the launch of cryptocurrency ETFs is still considered one of the most successful in the history of the US stock market. These exchange-traded funds accounted for 13 of the top 25 ETF launches in 2024 in terms of capital inflows for the year, said ETF Store head Nate Geraci.

Of the roughly 400 new ETFs launching in 2024, the four largest by fund inflows are Bitcoin-based spot ETFs, Cointelegraph reported.

Fund inflows into cryptocurrency ETFs since listing

BlackRock’s iShares Bitcoin Trust (IBIT) is at the top of the list, with almost $21 billion in inflows to date.

It is followed by Fidelity Wise Origin Bitcoin Fund (FBTC) with nearly $10 billion in net inflows, as well as ARK 21Shares Bitcoin ETF (ARKB) and Bitwise Bitcoin ETF Trust (BITB) – each with about $2 billion in net inflows.

In seventh place sits the iShares Ethereum Trust ETF (ETHA), which leads the Etherium ETFs with more than $1 billion in net inflows. And this is just the beginning for the spot exchange-traded fund sphere. According to analysts, it will continue to expand, providing large investors with more and more opportunities given the high liquidity and ease of interaction.


Right now, investor fatigue reigns in the coin market. Still, the industry continues its slow collapse over several months, and there is no intensive growth like the events of March-April. Whether, taking this into account, September will be as negative as in previous years, or whether the market drawdown on the eve is enough - time will tell.