According to Eric Balchunas, low volatility ETFs have experienced five years of consecutive outflows and multiple liquidations, signaling a major shift in investor preference toward buffer ETFs that offer more predictable downside protection. This structural change in traditional ETF demand suggests investors are prioritizing risk management and stability, which could impact broader portfolio allocations, including reduced appetite for risk-on assets like cryptocurrencies. As more capital flows into buffer ETFs, the search for volatility and higher returns may shift toward crypto markets, potentially increasing digital asset trading activity as traders seek alternative high-yield opportunities (Source: Eric Balchunas, Twitter, June 3, 2025).

According to Eric Balchunas, Buffer ETFs have consistently attracted investments for 50 consecutive months, achieving a record quarter as their sales pitch gains strength in the current year. This trend highlights their growing popularity and resilience in volatile markets, making them a notable option for traders seeking risk mitigation (source: Eric Balchunas).