US-listed spot bitcoin ETFs saw $33.79 million in net inflows in the week ended July 24. This third consecutive week in the green marks a first since the beginning of May. The massive outings at the end of the week nevertheless dampened the budding optimism.
In brief
- American spot bitcoin ETFs have a third positive week in a row, with $33.79 million in net inflows.
- The $465 million in outflows recorded on Thursday and Friday almost erased the week’s gains.
- BlackRock alone captures nearly $415 million of these redemptions via its IBIT fund.
A trickle of warm air rather than a strong comeback
Three weeks of positive flow was a long time. Bitcoin ETFs had not aligned such a sequence since the first days of May, just before the record outflows in June dashed hopes of recovery.
Still, the momentum is showing tangible signs of fatigue. Compared to the 197 million dollars collected the previous week and the 75.67 million in the first week of July, the 33.79 million in this third week look more like a trickle of lukewarm water than a tidal wave. The dynamic crumbles, week after week.
The crypto analysis firm BRN delivered an unvarnished observation in a note to CoinDesk :
After the heavy outflows of May and June, the July repair phase brought relief, but institutional demand remains cautious.
Everything changed in 48 hours. On Wednesday July 22, the funds still showed comfortable net inflows. The next day, $225.2 million flowed out of bitcoin ETFs. On Friday the 24th, another 240.1 million followed the same path. SoSoValue compiled the figures: $465 million evaporated over the last two sessions of the week.
BlackRock threw all its weight into this reversal. Its IBIT product concentrated nearly $415 million in redemptions, or almost all of the outflows. The Wall Street giant, which has dominated the bitcoin ETF market since their launch in January 2024, remains capable of rocking the weekly statistics single-handedly. When IBIT sneezes, the entire segment catches a cold.
Bitcoin stuck between profit taking and feverish Nasdaq
The streams and the course told the same story. Raised to a July high above $66,500 on Tuesday the 22nd, bitcoin then slipped below $64,000 on Friday. Profit-taking played its part, but the real culprit was stocks.
The Nasdaq 100 suffered from a rout in semiconductor stocks, a barometer of the artificial intelligence industry. This cold snap on tech stocks mechanically weighed on risky assets, and bitcoin was no exception.
Monday July 27, the price was moving around $65,000, up slightly by 0.9%. A timid tremor, reflecting the general mood: investors oscillate between the hope of a buoyant summer and the fear of another drop in the stock markets.
Bitcoin ETFs have just put together their best streak since spring, but each week sees the momentum erode a little more. The $465 million loss in 48 hours, mainly attributable to the juggernaut BlackRock, is a reminder that the recovery in institutional demand remains fragile. With Nasdaq under pressure and profit-taking awaiting the slightest peak, the dynamics of bitcoin ETFs are navigating uncertain waters.
Maximize your Tremplin.io experience with our ‘Read to Earn’ program! For every article you read, earn points and access exclusive rewards. Sign up now and start earning benefits.
