"Institutions are back"…U.S. spot Bitcoin ETF posts longest net inflow streak in six months

U.S. spot Bitcoin (BTC) exchange-traded funds (ETFs) posted net inflows for seven consecutive trading sessions—the longest such streak in the past six months.

According to SosoValue on the 17th (local time), spot Bitcoin ETFs had recorded net inflows for seven straight trading days as of that day. It marks the longest daily net inflow run since October last year.

Spot Bitcoin ETFs have attracted more than $400 million so far this week alone. Month to date, net inflows total $1.74 billion. If the current pace continues, spot Bitcoin ETFs are expected to register monthly net inflows for the first time in six months since October last year.

The market has interpreted this as a sign that "institutional conviction has returned." Rachel Lucas, a crypto analyst at BTC Markets, told The Block that "seven consecutive trading days of net inflows (into Bitcoin ETFs) is not merely dip-buying," adding that it should be seen as "planned asset allocation" by institutions that do not move quickly or impulsively.

Analysts also say demand that can underpin Bitcoin prices is strengthening. Lucas noted that "(recent Bitcoin ETF) demand has a structural character," explaining that when this kind of buying enters the market, supply is absorbed on each dip and prices are less likely to break down even when overall risk-asset sentiment is unstable.

Meanwhile, U.S. spot Ethereum ETFs also recorded net inflows for six consecutive trading sessions as of the 17th (local time). Spot XRP ETFs, which had been repeatedly underperforming recently, absorbed $4.6 million and turned back to net inflows.