Key facts
- US spot Bitcoin ETFs saw a net inflow of $197.4 million in the past week.
- This inflow marks the end of an eight-week period of consistent outflows.
- BlackRock's iShares Bitcoin Trust ETF was the primary driver of inflows.
- Grayscale Bitcoin Trust ETF experienced outflows, reducing the net inflow.
- Spot Ether ETFs also broke an eight-week outflow streak, recording $84.42 million in net inflows.
US-listed spot Bitcoin exchange-traded funds (ETFs) experienced a net inflow of $197.4 million for the week ending Friday, breaking a continuous eight-week streak of outflows that began in May. The BlackRock iShares Bitcoin Trust ETF was the primary contributor to this positive trend, recording $291.9 million in inflows. However, this was partially offset by outflows from other prominent ETFs, including the Grayscale Bitcoin Trust ETF, the Fidelity Wise Origin Bitcoin Fund, and the ARK 21 Shares Bitcoin ETF.
While the end of the outflow streak might suggest a potential recovery in institutional demand for Bitcoin, analysts remain cautious. Markus Thielen, founder and CEO of 10x Research, noted that flows are not yet pronounced and that Bitcoin tends to perform better in the first half of the month before consolidating. He stated that "headwinds remain in our view" without more significant ETF flows, especially after Bitcoin's recent price jump.
Other analysts offer mixed outlooks. Jamie Coutts, chief crypto analyst at Real Vision, suggested that Bitcoin might be entering the latter stages of a bear market, with selling pressure easing. Conversely, Russell Thompson, chief investment officer at Hilbert Capital, believes Bitcoin is still in a downcycle and could reach a low around October.
In parallel, US-listed spot Ether ETFs also saw their eight-week outflow streak broken, with $84.42 million in net inflows for the same week, primarily driven by BlackRock and Fidelity's Ether funds. These inflows, however, are modest compared to the $1.2 billion in net outflows recorded for Ether ETFs since May 11.