BlackRock leads Bitcoin ETF inflows as 8-week outflow streak breaks

Spot Bitcoin ETFs recorded their first weekly net inflow since May, led by BlackRock's IBIT, as an eight-week outflow streak that drained $2.7 billion from the products showed signs of exhaustion.

Bitcoin rose to $63,949 as spot ETFs posted their first positive weekly flow since May, breaking an eight-week outflow streak that had pulled $2.7 billion from the products.

"The reversal in ETF flows, particularly the stabilization in IBIT, suggests institutional investors are beginning to re-enter after a prolonged de-risking phase," Nina Volkov, crypto markets analyst at Edgen, said.

BlackRock's IBIT led the rebound with $221.7 million in single-day inflows on July 2, ending a 10-session outflow run that had cost the fund roughly $2.2 billion. Fidelity's FBTC added $165.96 million and ARK/21Shares' ARKB took in $91.84 million the same day, according to issuer data. The inflows came after Bitcoin touched a 21-month low of $58,035 earlier in the week.

The shift matters because IBIT had been the anchor product for institutional Bitcoin exposure — its 11-session redemption streak was the longest in the category's history. With the fund now showing signs of stabilization, the next test is whether inflows can sustain above the $64,000-$65,000 resistance zone, a level that has capped Bitcoin since early June.

The broader crypto market remains cautious. The Fear & Greed Index sits at 23, still in "extreme fear" territory, and Bitcoin's Relative Strength Index at 36.8 is approaching oversold but has not crossed the threshold. Open interest across major derivatives exchanges held near $28 billion as of July 12, with funding rates hovering near zero, indicating neither longs nor shorts have seized control.

Ether spot ETFs also recorded their first positive weekly flow since May, taking in $29.1 million on July 2 after a 17-day outflow streak. BlackRock's ETHA led with $29.74 million in inflows. Ether traded at $1,730, down 3% on the week, after confirming a weekly death cross — its 50-week exponential moving average crossing below its 200-week EMA for the first time in years.

The ETF flow reversal removes a major headwind for Bitcoin, but the macro backdrop remains uncertain. Citi recently downgraded its 12-month Bitcoin forecast to $82,000 with a bear case at $53,000, and prediction markets place 73% odds that BTC touches $55,000 before $84,000. For the rally to gain traction, Bitcoin needs to reclaim the $64,000-$65,000 resistance zone and sustain inflows across multiple sessions.

This article is for informational purposes only and does not constitute investment advice.