Bitcoin ETFs have recorded two consecutive weeks of net inflows for the first time since October, while at the same time large investors have reduced their positions. These contrasting movements illustrate the complex market dynamics in which institutional investors remain cautiously optimistic while whales realize profits.
Bitcoin ETFs break negative streak with €1.17 billion
After a prolonged period of capital outflows, Bitcoin ETFs attracted a total of €1.17 billion in fresh capital over the past two weeks. Last week, €680 million flowed in, followed by another €490 million last week. Investors were particularly eager to buy at the beginning of the week, before outflows of €197 million and €302 million on Thursday and Friday dampened the positive mood.
The Bitcoin ETFs from BlackRock (IBIT) and Fidelity (FBTC) led the inflows. BlackRock’s iShares Bitcoin Trust recorded inflows of over €400 million in the first week alone, while Fidelity’s Wise Origin Bitcoin Fund attracted a further €180 million. These two funds have established themselves as the dominant forces in the Bitcoin ETF market, together controlling over 60 percent of total assets under management in this segment.
Institutional demand drives ETF growth
The sustained inflows reflect growing institutional interest in Bitcoin exposure. Pension funds, insurance companies, and family offices are using ETFs as a regulated way to get into cryptocurrency without having to hold Bitcoin directly. This trend is being fueled by the Federal Reserve’s recent interest rate cut expectations, as investors look for alternative asset classes.
Analysts at JPMorgan Chase estimate that institutional investors are now responsible for over 70 percent of ETF inflows. This shift toward professional investors could lead to more stable capital flows in the long term, as institutional investors typically pursue longer-term investment strategies than retail investors.
Volatile price movement between $66,000 and $74,000
The Bitcoin price reflected the volatile market sentiment. After rising 4.6 percent on Monday and 6.3 percent on Wednesday, the cryptocurrency briefly reached the $74,000 mark. However, sentiment turned on Thursday, and Bitcoin lost around 9 percent within a few days. The price slipped below $66,000 before recovering slightly to its current level of around $67,500.
Volatility was exacerbated by several factors: in addition to whale sales, profit-taking ahead of the weekend and uncertainties regarding US monetary policy also weighed on the price. Technical analysts identified the $66,000 mark as an important support level, which has been successfully tested several times in recent months.
Whale sales slow rally near all-time high
The decline in price was primarily due to sales by Bitcoin whales – investors with holdings between 10 and 10,000 BTC. These large investors had been steadily building up their positions since the end of February, but began taking profits when prices approached $74,000. T
