Bitcoin ETF net inflow of US$197 million, ending eight consecutive weeks of outflows

U.S. spot bitcoin ETF ended eight-week outflows, with a net inflow of US$197.4 million last week

According to data from Farside Investors, U.S. -listed spot bitcoin exchange-traded funds (ETFs) recorded weekly net inflows for the first time in eight weeks. As of last Friday, these products had a total net inflow of $197.4 million, ending a trend of outflows that had lasted for several weeks since May.

Although this change deserves attention, the overall situation is still complex. Analysts pointed out that it may be premature to over-interpret weekly reversals alone, especially given the scale of previous outflows and persistent questions surrounding institutional demand.

Key Points

As of last Friday, the net inflow of U.S. spot Bitcoin ETF was US$197.4 million, ending eight consecutive weeks of weekly outflows. BlackRock's iShares Bitcoin Trust contributed most of the inflows, with a net inflow of $291.9 million, while several other funds reported outflows. Despite the reversal in capital flows, total divestments since May 11 still amount to $8.26 billion, according to SoSoValue. The Ethereum Spot ETF also ended eight consecutive weeks of decline, but the net inflow was relatively small compared to cumulative outflows.

Bitcoin ETF funds flow turned positive, but losses are still huge

Data from Farside Investors showed that most of the funds flowed into BlackRock's iShares Bitcoin Trust ETF this week, which recorded a net purchase of $291.9 million. This inflow was partially offset by outflows from Gray Bitcoin Trust, Fidelity's WiseOrigin Bitcoin Fund and the ARK 21 Shares Bitcoin ETF.

Even if the outflow trend is ended, the recent historical scale cannot be ignored. SoSoValue data cited in the report shows that investors have withdrawn $8.26 billion from U.S. -listed spot Bitcoin ETFs since May 11. Against this backdrop, the weekly inflow of $197.4 million can be seen as an early signal of stabilization rather than a full reversal of market sentiment.

Analysts 'View: The recovery may be only tentative.

Analysts pointed out that weekly changes in capital flows may indicate that institutional demand for bitcoin is beginning to recover after two months of continued selling pressure. However, not everyone believes that investors should interpret one-week performance as a lasting trend.

Markus Thielen, founder and CEO of 10x Research, said it may be too early to conclude that the bearish flow cycle is over. He noted that uncertainty remained in the broader context of ETF flows and stablecoin flows, and emphasized that seasonal patterns in August and September could affect market behavior.

Thielen also mentioned a recurring market pattern: Bitcoin has historically performed well in the first half of each month, and then entered a consolidation period. He believes resistance remains because "capital flows are still significant" and ETF inflows have not yet "picked up meaningfully." The assessment highlights a key issue faced by traders and long-term allocators: Markets may be responding to improving conditions, but inflow data is not yet sufficient to confirm a lasting shift in trends.

ETF trends and the broader Bitcoin cycle market debate

The weekly reversal in capital flows comes as parts of the market are still debating Bitcoin's place in the broader cycle. Jamie Coutts, chief crypto analyst at Real Vision, said Bitcoin may be entering the late stages of a bear market, citing early technical signals that selling pressure may be weakening.

At the same time, other analysts believe that further downside risks remain. Russell Thompson, chief investment officer of asset management firm Hilbert Capital, said he believes Bitcoin is still in a downward cycle and hinted that it could hit a low around October.

Overall, changes in ETF data provide some evidence to support the theory of stabilization, but have not quelled the market's greater differences on the timing and depth of the next phase.

The Ethereum Spot ETF also reversed, but outflows still dominate

Bitcoin is not the only product with improved capital flows. The U.S. -listed spot Ethereum ETF also ended eight consecutive weeks of decline, recording a net inflow of US$84.42 million as of last Friday. Inflows were mainly driven by BlackRock and Fidelity's Ethereum funds.

However, similar to Bitcoin, cumulative capital flow history is still a more important reference indicator. The report pointed out that since May 11, investors have withdrawn a net $1.2 billion from the U.S. spot Ethereum ETF. That makes last week's $84.42 million inflow seem even more subtle: it was just a marginal reversal, but not in itself enough to indicate that the larger outflow trend was over.

This is critical for investors tracking broader adoption of cryptocurrencies through regulated tools, as it suggests tentative buying for both assets but has not yet shown a continued increase in allocation-which is often needed to fully offset previous selling pressures.

Looking ahead, investors may need to focus on whether weekly ETF inflows can transcend isolated reversals, and whether stablecoins and broader fund flow indicators can confirm that demand is returning, rather than just responding to short-term market fluctuations.