US spot Bitcoin ETFs post strongest weekly inflows in 10 months
A 23 per cent surge in Bitcoin prices drove $1.92 billion in net inflows to US-listed funds last week, reversing a recent outflow trend.
US-listed spot Bitcoin exchange-traded funds recorded their strongest weekly net inflows in 10 months, attracting a combined $1.92 billion last week. According to data from SoSoValue, the figure represents the largest weekly haul since early October last year, when the funds attracted $2.71 billion in net inflows. The surge marks a significant turnaround for the asset class, which had suffered nearly $390 million in net outflows the previous week.
The inflow spike coincided with a sharp rally in the underlying asset, with Bitcoin prices climbing approximately 23 per cent last week. This move marks the largest weekly gain for the cryptocurrency in more than three years. Bitcoin is currently trading at around 79,473, up roughly 3 per cent over the past day. The funds also recorded their strongest single-day inflow in over three months on 20 August, with $606.3 million invested.
Analysts attribute the renewed investor interest to a combination of market mechanics and macroeconomic shifts. Taran Dhillon, head of digital assets at Kula, noted that the price movement was amplified by a short squeeze and a sharp decline in long-term Treasury yields following increased US Treasury bond buybacks. Supportive regulatory developments, including the SEC’s proposed crypto rules and the CLARITY Act, also helped reinforce the rally.
Despite the strong performance, caution remains regarding the sustainability of these flows. Dhillon highlighted that Bitcoin remains highly sensitive to changes in yields, dollar strength, macroeconomic uncertainties, and expectations for Federal Reserve policy. He warned that ETF demand can shift quickly if rate-cut expectations weaken, a dynamic observed in previous market cycles.
Markus Levin, co-founder of XYO, expects spot Bitcoin ETF flows to remain positive this week, although he anticipates higher volatility compared to the previous period. Levin indicated that the key factors for continued inflows will be whether broader liquidity conditions remain supportive and whether investors continue to view current price levels as an attractive entry point.
The broader market backdrop includes geopolitical tensions, such as the US President’s announcement of a 50 per cent tariff increase on Canadian auto imports. While the immediate driver for Bitcoin was the short squeeze and yield movements, the interplay between macroeconomic policy and crypto assets continues to define the investment landscape.
