Bitcoin Ethereum ETFs See $1.55 Billion Inflows as Prices Surge

U.S. Bitcoin ETFs attracted $1.17 billion in net inflows, while Ethereum ETFs saw $383 million in net inflows, indicating a surge in institutional demand for these digital assets. This influx of capital comes as Bitcoin and Ethereum prices reach fresh all-time highs, with Bitcoin crossing $118,000 and Ethereum surpassing $3,000 for the first time since its previous peak.

Leading the charge in Bitcoin ETFs were BlackRock and Fidelity, with IBIT receiving $448 million and Wise Origin pulling in $324 million. Ethereum ETFs also posted historic figures, with BlackRock’s Ethereum Trust (ETHA) alone bringing in $300.9 million, its best day yet. The total ETH ETF haul was the second-highest since launch.

Despite the inflow frenzy, many traditional advisors remain on the sidelines. This is due to major platforms like Vanguard still refusing to offer access to these crypto vehicles, even as demand explodes. In terms of supply, ETF purchases far outpace coin issuance. Over the past 24 hours, only $6.33 million in new ETH entered circulation, compared to $383 million in ETF demand. For Bitcoin, $28.22 billion has been absorbed year-to-date by U.S. ETFs and Strategy, while miners have issued just $7.85 billion.

The imbalance highlights a growing dynamic: investor appetite through ETFs is overwhelming the rate of new crypto creation, further tightening supply as prices climb. The strong ETF inflows have been a key driver behind the recent rally in the crypto market. Bitcoin has edged closer to $109,000, while Ethereum has surged by 3%, supported by robust institutional demand. The record inflows into BlackRock's Bitcoin and Ether ETFs, which saw $1.47 billion in total, further underscore the growing institutional interest in these assets.

Ethereum's price has been particularly buoyed by ETF inflows, with a single-day purchase of $211 million contributing to its surge past $3,000. This institutional interest is also reflected in record institutional interest, indicating a broader trend of institutional adoption. The crypto market's upward trajectory is further supported by supportive policies and the overall positive sentiment surrounding digital assets.

The surge in ETF inflows has not only driven the prices of Bitcoin and Ethereum but also fueled a broader rally in the crypto market. Ethereum's price has surged over 15% in the past three days, driven by Bitcoin's rise and strong ETF and treasury inflows. This momentum has pushed Ethereum's market capitalization to new heights, surpassing $4 trillion in stablecoin value.

The recent price movements and ETF inflows highlight the growing institutional interest in Bitcoin and Ethereum. As more institutional investors enter the market, the demand for these digital assets is likely to continue to rise, potentially driving further price appreciation. The supportive policies and the overall positive sentiment surrounding digital assets further bolster this outlook, suggesting that the crypto market is poised for continued growth.