Bitcoin ETFs See $13.3M Inflow After 7-Day Outflow Streak

US Bitcoin ETFs experienced a notable shift in investor sentiment on March 12, with a $13.3 million inflow breaking a seven-day streak of outflows. This inflow marks a significant turnaround, as it follows a period of sustained outflows that had characterized the previous week. The inflow was driven by three prominent Bitcoin funds: BlackRock’s iShares Bitcoin Trust, the ARK 21Shares Bitcoin ETF, and the Grayscale Bitcoin Mini Trust ETF.

Despite the recent inflow, March has been a challenging month for crypto ETFs overall. More than $1.67 billion exited US spot Bitcoin and Ether exchange-traded funds during this period. The majority of this money came from Bitcoin ETFs, which saw $1.33 billion in outflows. This significant outflow highlights the volatility and uncertainty that has plagued the crypto market in recent weeks.

Market experts attribute the recent outflows to a variety of factors, including broader market downturns, macroeconomic uncertainties, geopolitical tensions, and trade wars. Bearish investor sentiment has also played a role in the exodus of funds. Some analysts believe that unmet expectations regarding certain strategic plans have added to the selling pressure, leaving some investors disappointed.

Despite the recent outflows, the overall picture for Bitcoin ETF investors remains strong. A massive 95% of investors continue to hold their ETF investments despite a strong Bitcoin price correction of 25% since the start of 2025. This resilience highlights the long-term confidence that many investors have in Bitcoin as an asset class.

Currently, US Bitcoin ETFs manage a total of $115 billion in assets under management. This highlights the resilience of both retail investors and institutional players who have invested in these products. Big institutional players maintain substantial exposure to these investment vehicles, with some reports indicating that certain major financial institutions have significant investments in Bitcoin ETFs.

While ETF investors show mixed sentiment, long-term Bitcoin holders appear to be taking advantage of the market dip. These investors have added over 131,000 BTC to their wallets in the past month alone, indicating a strategic approach to accumulating more Bitcoin during periods of market uncertainty.

Despite the recent outflows and market volatility, it is too early to call it a bear market. The current state of Bitcoin demand appears to be "stuck" at present, but this sluggish activity does not necessarily indicate a prolonged downturn. The resilience of both ETF investors and long-term holders suggests that the market may be poised for a recovery in the near future.