Bitcoin ETFs See Signs of a Resurgence: $450M Inflows Suggest Possible Renewed Interest

Bitcoin ETFs See Signs of a Resurgence: $450M Inflows Suggest Possible Renewed Interest

In recent days, spot Bitcoin ETFs have seen their strongest inflows in more than a month, indicating renewed institutional demand amid shifting macroeconomic expectations. About $457 million flowed into the funds on Wednesday, with Fidelity’s Wise Origin Bitcoin Fund taking the most money with about $391 million. BlackRock’s iShares Bitcoin Trust had the second-largest inflow with about $111 million.

The influx has brought the total value of U.S. spot Bitcoin ETFs to more than $57 billion, or about 6.5% of Bitcoin’s total market cap. Total assets in these funds have risen to more than $112 billion. The funds saw the most interest on Nov. 11, when they attracted more than $524 million in a single day.

The renewed interest is seen as “early exercise” rather than the start of a new strong cycle, says Vincent Liu of Kronos Research. According to him, this flow of capacity reflects changes in the macroeconomic environment, such as expectations about interest rates, rather than enthusiasm for cryptocurrencies themselves. Liu also warns that movements are likely to be uneven and dependent on liquidity and price fluctuations.

Meanwhile, US President Donald Trump announced plans to appoint a new Fed chairman who supports lowering interest rates. Lower rates are seen as favorable for risk assets, which include cryptocurrencies.

However, the Bitcoin market is still experiencing a loss structure that is limiting its growth. According to Glassnode data, it is now losing about 6.7 million BTC, the most since the beginning of the current cycle. Demand remains fragile, both in the spot and derivatives markets. It is expected that until more selling interest appears above $95,000 or until new liquidity enters the market.

Overall, while the inflow into ETFs suggests the possible start of a recovery, the Bitcoin market remains sensitive to macroeconomic factors and structural support levels. Future developments remain uncertain, but observers are watching to see if institutional investor interest can be sustained and expanded.

*This is not an investment recommendation.

The Coingarage Team