Bitcoin spot exchange-traded funds (ETFs) recorded a substantial net outflow of $363 million on September 22, 2025, as investors retreated ahead of Federal Reserve Chair Jerome Powell's pivotal speech on economic policy and interest rates. Major funds were hit hard, with Fidelity's FBTC experiencing a $277 million outflow, ARK Invest's ARKB losing $52.3 million, and WisdomTree's BTCW shedding $24.6 million. BlackRock's iShares Bitcoin Trust (IBIT), the largest fund, reported no flows, indicating some institutional stability.
Ethereum spot ETFs also faced withdrawals, with net outflows totaling $15.1 million. Fidelity's FETH saw $33.1 million in redemptions, and WisdomTree's ETHW posted $22.3 million in outflows, partially offset by inflows into smaller funds. The timing underscores market fragility, as these outflows coincided with a broader crypto selloff and risk-off sentiment in traditional markets.
Analysts noted that such large-scale withdrawals highlight heightened uncertainty and potential volatility, driven by anticipation of Powell's remarks. Historically, Federal Reserve announcements have spiked crypto volatility, and the current outflows reflect investor caution amid macroeconomic pressures. The data suggests Bitcoin and Ethereum are increasingly correlated with traditional financial trends, rather than acting as hedges.