Bitcoin ETFs Return to Inflows After Weeks of Withdrawals

US-listed spot Bitcoin exchange-traded funds (ETFs) recorded their first daily net inflow above $200 million since early May, ending several weeks of heavy withdrawals. According to SoSoValue data, the funds attracted $221.7 million in net inflows on Thursday, breaking a 10-day outflow streak that had seen more than $2.7 billion leave the products.

The rebound follows a difficult period for US spot Bitcoin ETFs, which posted a record $4.5 billion in net outflows during June. The inflows came as Bitcoin moved back above $61,000 after briefly falling below $59,000. Some investors, including Bitwise Chief Investment Officer Matt Hougan, have suggested that the market may be approaching a bottom. However, sentiment remained weak, with the Crypto Fear & Greed Index showing an “extreme fear” reading on Friday.

Fidelity leads rebound while BlackRock continues outflows

Fidelity’s Wise Origin Bitcoin Fund (FBTC) led Thursday’s recovery, attracting $166 million in net inflows, representing about 75% of the day’s total, according to Farside Investors. The ARK 21Shares Bitcoin ETF (ARKB) followed with $91.8 million in inflows, while the VanEck Bitcoin ETF (HODL) and Valkyrie Bitcoin Fund (BRRR) added $4.4 million and $1.7 million, respectively.

Meanwhile, BlackRock’s iShares Bitcoin Trust (IBIT) continued to see redemptions, recording $40.4 million in net outflows on Thursday. The fund has now lost more than $2.2 billion across an 11-session outflow streak that began on June 17.

Altcoin ETFs also see positive flows

The recovery was not limited to Bitcoin products, as altcoin-focused ETFs also recorded inflows. US spot Ether ETFs attracted $29.1 million on Thursday, following $14.9 million in inflows the previous day. XRP ETFs also returned to positive territory, bringing in $6.6 million after two straight sessions of withdrawals.

The broader crypto market also recovered, with total market capitalization rising 2.4% over the past 24 hours to $2.22 trillion, according to CoinGecko data, as Bitcoin climbed back above the $61,000 level.

Sources:

https://www.coingecko.com/en/coins/bitcoin?chart=type%3Dprice%26mode%3Dline%26timeframe%3Dd7

https://experts.bitwiseinvestments.com/cio-memos/strc-mstr-and-end-of-cycle-dynamics

https://cointelegraph.com/news/spot-bitcoin-etfs-222-million-daily-inflow-reverse

https://alternative.me/crypto/fear-and-greed-index/

https://sosovalue.com/assets/etf/us-btc-spot

https://sosovalue.com/assets/etf/us-eth-spot

https://farside.co.uk/btc/