- US spot bitcoin exchange-traded funds (ETFs) recorded net inflows on Wednesday.
- Spot Ethereum ETFs also rebounded, attracting $35.12 million in net inflows on Wednesday.
- Bitcoin has been trading in a narrow band between $114,000 and $115,000 in recent days.
US spot bitcoin exchange-traded funds (ETFs) recorded net inflows on Wednesday, halting a four-day streak of outflows that saw $1.45 billion pulled from the market.
According to data from SoSoValue, the funds posted a combined net inflow of $91.5 million.
BlackRock’s iShares Bitcoin Trust (IBIT) led the recovery with $42 million in inflows.
Bitwise’s BITB followed with $26.35 million, while Grayscale’s GBTC saw $14.5 million enter the fund. ETFs from Fidelity and VanEck also posted positive flows.
The only fund to register outflows was the ARKB ETF from Ark and 21Shares, which saw $5.37 million in net redemptions.
The return to net inflows follows a volatile stretch driven by weak US macroeconomic data and a broader pullback in risk assets, prompting profit-taking among crypto investors.
Bitcoin has been trading in a narrow band between $114,000 and $115,000 in recent days.
Ethereum ETFs also regain momentum
Spot Ethereum ETFs also rebounded, attracting $35.12 million in net inflows on Wednesday.
The ETFs had seen inflows of around $73 million on Tuesday.
The recovery comes after Ethereum ETFs suffered two consecutive days of redemptions, which drained $617 million from the nine spot funds.
BlackRock’s ETHA brought in $33.39 million, while Grayscale’s ETHE saw $10 million in new money.
However, Grayscale’s Mini Ethereum Trust reported net outflows of $8.67 million.
On Tuesday alone, US spot Bitcoin ETFs saw over $333 million in outflows, while Ethereum ETFs lost $465 million—their largest daily outflow to date.
Market reaction driven by sentiment
Ted Pillows, a crypto investor, described the market reaction as “PTSD from 2017 and 2021,” attributing much of the recent volatility to emotional trading decisions by retail participants.
According to Pillows, the 60% retail composition of the ETF investor base makes profit-taking more reflexive than strategic.
Despite the recent drawdown, analysts maintain…