BlackRock leads a new round of capital inflows into Bitcoin ETF

Bitcoin and Ethereum ETFs face their first weekly reversal since May amid fluctuations in institutional confidence

While institutional investors 'confidence swings amid sharp fluctuations, Bitcoin and Ethereum ETFs have just recorded their first positive weekly reversal since May. This critical rebound ended a long period of capitulation and also became a barometer of true interest in traditional finance.

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Bitcoin and Ethereum ETFs recorded their first positive weekly performance since May, with net inflows reaching US$90.44 million in the last trading day. BlackRock's IBIT fund stands alone, closing alone $86.83 million on Friday, July 10 alone. Despite the outflow of funds on Thursday, July 9, the market's rally before the weekend saved the overall performance of crypto products this week. The simultaneous rise of Bitcoin and Ethereum marks the return of institutional investors.

BlackRock and VanEck promote the inflow of spot ETF funds.

July 10 (Friday) ended with a large-scale return of institutional capital. Key indicators of the day clearly showed this trend: Bitcoin exchange-traded funds (ETFs) had a total net inflow of US$90.44 million; Ethereum-related products continued this trend, absorbing US$18.43 million on the same day; BlackRock's iShares Bitcoin Trust (IBIT) monopolized US$86.83 million in a single day, further consolidating its dominant position;VanEck's HODL fund also recorded a net inflow of US$3.61 million, which together constituted this round of performance.

Analysis of raw data reveals a clear technical correlation between capital inflows and spot market behavior. After these large-scale capital allocations, the price of Bitcoin immediately jumped to $64100, an increase of 1.39% in 24 hours. This bullish trend mechanically pushed the total valuation of the entire crypto market to a solid level of US$2.28 trillion. Experts on capital flow structure interpret the simultaneous rise of Bitcoin and Ethereum as "the return of interest in crypto as an asset class," proving that current capital allocation has gone beyond the scope of a simple technical rebound of a single asset.

A complex week of capital flows

This week's trading finally achieved positive results after an extremely chaotic process that severely tested the nerves of participants. Monday (July 6) started well, with the net inflow of Bitcoin ETF reaching US$265.69 million that day, of which IBIT contributed US$209.4 million. However, on Wednesday (July 8), the situation took a turn for the worse, and Bitcoin funds suddenly encountered an outflow of US$84.9 million. It is worth noting that Ethereum showed independent resilience that day, recording a net inflow of US$70.5 million for the fifth consecutive trading day. The sell-off spread on Thursday (July 9), with Bitcoin and Ethereum experiencing net outflows of US$95.3 million and US$52.08 million respectively. Ethereum's consecutive gains came to an abrupt end until Friday's rescue rally was recovered.

This rapid alternation of capital inflows and outflows reveals the short-term fragility of investor sentiment. Daily carry trades suggest that psychological resistance remains strong, with every growth wave immediately facing the test of profit-taking or hedging sell-off. This jagged movement suggests that while large investment portfolios are returning to the market, they still operate with extreme selectivity and strict risk management discipline. This week's capital flows depict a transitional period as institutional buyers are testing the strength of technical support and have not yet fully engaged in aggressive long-term accumulation strategies.

A test of resilience against the backdrop of pressure on the U.S. stock market

This weekly rebound is even more significant compared with the more bleak history of the U.S. stock market in the near future. June ended with a negative net outflow of approximately US$4 billion from the Bitcoin ETF, setting its worst monthly performance since its launch in January 2024. The rout was particularly exacerbated by ten consecutive days of selling, during which a cumulative outflow of US$2.73 billion was interrupted until early July when Fidelity FBTC funds received an inflow of US$222 million. Despite these shocks, the overall structure has shown long-term resilience that cannot be ignored, with cumulative net inflows since its establishment still reaching approximately US$51.3 billion. The return of funds since May has provided respite and partially recouped losses since its October 2025 high, when Bitcoin prices hit about $126,000 before experiencing a correction of nearly half that value. The real test will be played out in the next trading session, which will determine whether the return of buying is a simple portfolio adjustment or the beginning of a sustainable flow of funds.