US spot Bitcoin ETFs showed signs of stabilizing demand, attracting a combined $516 million in net inflows across Friday and Monday, according to flow data. While year-to-date outflows remain near $1.9 billion, analysts note a sharp slowdown in redemptions, potentially signaling an inflection point. Simultaneously, a Bitwise executive stated that early Bitcoin investors are largely not exiting the market despite growing institutional influence, with many taking partial profits instead.
US spot Bitcoin exchange-traded funds (ETFs) extended a tentative rebound after attracting $371 million in net inflows last Friday. The funds attracted a further $145 million in inflows on Monday as Bitcoin hovered around $70,000, according to combined data from SoSoValue and CoinGecko.
The recent inflows have yet to offset last week’s $318 million of outflows and roughly $1.9 billion in redemptions year-to-date. James Butterfill, head of research at CoinShares, noted outflows slowed sharply to $187 million last week despite price pressure, with the deceleration historically signaling a potential inflection point.
Bitcoin’s growing institutional presence has not driven early investors out of the market, according to Bitwise chief investment officer Matt Hougan. Hougan acknowledged a “cypherpunk, libertarian OG core” may be uncomfortable but described that group as a shrinking minority.
Many early investors are instead taking partial profits after large gains rather than exiting the market altogether. “The vast majority are still in it, and they’re being augmented by new institutional investors,” Hougan stated.
Analysts at research firm Bernstein described the recent downturn as the “weakest bear case” in Bitcoin’s history. They noted the absence of major industry failures typically associated with deeper crypto market stress.
In line with the rebound, spot altcoin ETFs also posted gains on Monday. According to SoSoValue data, Ether and XRP ETFs saw inflows of $57 million and $6.3 million, respectively.
