Eight Weeks, Five Days, One Green Light: Bitcoin ETFs Finally Stop the Hemorrhage 🩹

U.S. spot Bitcoin exchange-traded funds ended an eight-week streak of weekly net outflows by drawing roughly $197.4 million in the week ended Friday, according to data from Farside Investors and SoSoValue. Most of the buying came from BlackRock's iShares Bitcoin Trust ETF ($IBIT), which recorded $291.9 million in inflows over the period. The gains were partially offset by outflows from the Grayscale Bitcoin Trust ETF ($GBTC), the Fidelity Wise Origin Bitcoin Fund ($FBTC) and the ARK 21Shares Bitcoin ETF ($ARKB). The week brought in about $282 million across both spot Bitcoin and Ether ETFs combined, with spot Ether ETFs pulling in $84.42 million to break their own eight-week losing streak.

Digging into the daily tape, Bitcoin ETFs opened with a $265.7 million inflow on Monday and added $21.5 million on Tuesday, according to Morning Minute figures, before giving back ground during midweek Iran-related volatility, with $84.9 million out on Wednesday and $95.3 million out on Thursday. Friday closed with a $90.4 million inflow, with BlackRock's $IBIT leading the buying on both green days, adding $209.4 million on Monday and $86.8 million on Friday. $IBIT was the single largest source of June's record outflows, making its return to the bid side notable. Separately, SoSoValue-cited figures showed a separate three-day buying stretch of $181 million on Tuesday, $108 million on Wednesday and $79.2 million on Thursday, bringing that streak's total to about $368 million.

Bitcoin rebounded to $64,000 on the back of the weekly flows before retracing to just under $63,000 overnight, per CoinGecko data. Traders are looking ahead to Tuesday's CPI print, the last major data point before Kevin Warsh's July 28–29 FOMC meeting. Cumulative net inflows into U.S. spot Bitcoin ETFs climbed to $51.2 billion, with total assets under management at $77.7 billion. The $197.4 million weekly inflow was modest compared with the $8.26 billion investors had withdrawn since May 11.

Analysts were divided on what the reversal means. "While one week of inflows doesn't define a trend, it comes at a time when institutional confidence is growing around the potential passage of the CLARITY Act in the US in August next month," Monochrome Asset Management founder and CEO Jeff Yew told Cointelegraph, adding that it "could be an early indication that institutions are beginning to position ahead of greater regulatory certainty, which is often what long-term capital allocators look for." Markus Thielen, founder and CEO of 10x Research, struck a more cautious note, pointing to "ETF and stablecoin outflows and seasonality in August and September" as headwinds, and noting a recent pattern in which "Bitcoin performs better in the first half of the month, then consolidates in the latter half."

The relief proved short-lived, however, as U.S. spot Bitcoin ETFs recorded $424.66 million in net outflows the following Monday, the biggest single-day withdrawal in July so far, according to SoSoValue data. The reversal left ETF demand fragile after a record outflow month in June, when investors pulled $4.51 billion from the funds. Total net assets stood at $74.79 billion with cumulative net inflows at $50.85 billion as of that Monday. CryptoQuant analyst Sunny Mom pointed to mixed signals, writing that "a definitive, broad-based market bottom has yet to be confirmed," noting that whale accumulation could help limit further downside but does not yet signal a sustained recovery. Bitcoin traded around $62,589 at the time, roughly 30% below its level at the start of the year, according to CoinGecko.