Bitcoin ETFs See $2 Billion Inflows in Week Amid Price Surge

Investors have shown a strong appetite for spot Bitcoin exchange-traded funds (ETFs) in the U.S., with nearly $2 billion flowing into these investment vehicles over the past week. This influx marks an extension of the positive weekly inflows that began on April 17, indicating a sustained interest in Bitcoin ETFs among investors.

The total inflow for U.S.-based Bitcoin ETFs over the past five trading days amounted to approximately $1.81 billion. Notably, Thursday and Friday were particularly strong days for these funds, with inflows of $423 million and $675 million, respectively. This surge in investment comes on the heels of a significant jump in BTC spot prices in early May, when the asset gained 4% to reach a six-week high of nearly $98,000 on May 2. However, the price of Bitcoin has since retreated to the $94,000 zone, which is the same level it traded at a week prior.

The growing popularity of spot Bitcoin ETFs has also caught the attention of prestigious educational institutions. For example, Brown University recently disclosed holding roughly $5 million worth of shares in BlackRock’s spot BTC ETF. IBIT, currently the largest spot Bitcoin fund with nearly $60 billion in assets under management, saw $675 million in net inflows on Friday, bringing its cumulative inflows to $43 billion.

Robert Mitchnick, Head of Digital Assets at BlackRock, has commented on the resurgence of Bitcoin ETF inflows, stating that they “are back in a big way.” Speaking at a panel discussion, Mitchnick highlighted that institutions and advisory firms are now playing a significant role in the total BTC ETF flows, whereas retail customers, including high-net-worth individuals, were more active when these investment products first debuted. He noted that the appeal of Bitcoin ETFs is partly due to Bitcoin's increasing behavior as a safe haven asset, providing a hedge against the monetary risks of any particular country.