Bitcoin ETFs Attract $1.2 Billion in Inflows in First 48 Hours of 2026 – Analysts

U.S. spot Bitcoin exchange-traded funds (ETFs) began 2026 with strong inflows, attracting $1.2 billion in the first 48 hours of the year. This marked a reversal from the outflows seen in late 2025 and suggested renewed institutional and retail investor confidence in the digital asset according to Cointelegraph.

The inflows were driven by a combination of market factors, including the 'clean-slate effect' of the new year and improved market liquidity. After a period of tax-loss harvesting and year-end positioning adjustments, investors have reallocated capital to Bitcoin-based products. This shift has helped Bitcoin regain levels above $90,000.

BlackRock's iShares Bitcoin Trust (IBIT) and Fidelity's Wise Origin Bitcoin Fund (FBTC) were the top performers. IBIT alone saw $371.9 million in net inflows, while FBTC attracted $191.2 million. Both funds have continued to lead the sector in capital inflows since the start of 2026.

Why Did This Happen?

The new year provided a fresh start for investors, allowing for a reset in positioning after a turbulent end to 2025. Matrixport analysts attributed the inflows to the 'clean-slate effect,' which typically sees investors reassess their portfolios and reallocate capital to higher-potential assets according to Yahoo Finance.

In addition, Bitcoin ETFs have historically absorbed significant inflows at the start of the year as investors seek to capitalize on potential gains in the new fiscal period. The current inflow pace suggests a structural shift rather than a short-term rally, as institutional buying appears to be more consistent according to TradingView.

What Are Analysts Watching Next?

Analysts are closely monitoring whether the inflows will continue throughout the year. If the current pace of $1.2 billion in two days is maintained, annual inflows could reach $150 billion, dwarfing 2025's totals. This would significantly boost Bitcoin's market dynamics and potentially lead to long-term price appreciation according to TradingView.

Sygnum CIO Fabian Dori noted that consistent ETF inflows are reducing circulating Bitcoin supply and could create a supply-demand imbalance. This structural shift, if sustained, might drive Bitcoin's price higher. However, preliminary data suggests some volatility in ETF flows, with certain funds showing signs of outflows midweek according to FXStreet.

Institutional Confidence Grows

Morgan Stanley's recent filing to launch its own Bitcoin and Solana ETFs underscores the growing institutional confidence in crypto ETFs. The Wall Street giant filed with the SEC for two spot ETFs on January 6, 2026. This move places Morgan Stanley among major financial institutions like BlackRock and Fidelity, which have already launched Bitcoin ETFs according to The Block.

Morgan Stanley's decision to brand these ETFs with its own name rather than using third-party products reflects its strategic shift into the crypto space. The firm has shifted from merely distributing crypto ETFs to developing in-house solutions, signaling a deeper commitment to digital assets according to CoinDesk.

The cumulative net inflow volume for U.S. spot Bitcoin ETFs now stands at $57.78 billion, with net assets of $123.52 billion. This level of demand is supporting Bitcoin's potential for continued upward movement and has led some analysts to forecast a price target near $105,000 according to The Block.

Broader Market Implications

The inflows were not limited to Bitcoin. Ethereum and other altcoins also saw positive performance, with Ethereum ETFs attracting $168 million in inflows on Monday. XRP ETFs experienced a surge to $46 million in inflows, and funds tracking smaller cryptocurrencies saw gains as well. This suggests broader market participation and a shift in investor sentiment toward crypto as a whole according to Yahoo Finance.

Market participants are also watching the impact of Bitcoin ETF inflows on price patterns and broader market liquidity. Some traders remain net short on Bitcoin, but net long positions in Ethereum and XRP suggest a bullish outlook for those assets according to FXStreet.

The strong start to 2026 for Bitcoin ETFs may signal a long-term structural shift in how institutional investors approach digital assets. If the inflows continue, it could support further price appreciation and cement crypto's place in mainstream financial portfolios.