Bitcoin News Today: Bitcoin ETFs Surge on $457M Inflow, Stabilizing Crypto Markets

Bitcoin ETFs recorded a significant inflow of $457 million on Wednesday, marking their strongest single-day inflow in over a month according to market analysis. This boost came as institutional demand showed early signs of recovery after a period of alternating inflows and outflows. The inflows provided a counterbalance to near-term selling pressure, helping stabilize Bitcoin near $87,000 according to market data.

Fidelity's Wise Origin Bitcoin Fund (FBTC) led the inflow surge, capturing about $391 million in net inflows. BlackRock's iShares Bitcoin Trust (IBIT) followed with $111 million in inflows. Cumulative inflows for U.S. spot Bitcoin ETFs now exceed $57 billion, with total assets surpassing $112 billion.

Glassnode's analysis highlighted that Bitcoin remains range-bound, supported near $81,000 but capped by heavy selling pressure above $95,000. The market has yet to reclaim the Short-Term Holder Cost Basis at $101,500, which is seen as a critical threshold for further price recovery according to Glassnode's report.

Why the Standoff Happened

The inflow of capital into Bitcoin ETFs reflects a broader trend of early macro positioning rather than late-cycle enthusiasm. Vincent Liu, chief investment officer at Kronos Research, noted that the renewed interest is driven by softening rate expectations, which have made Bitcoin a more attractive liquidity trade according to market analysis. As institutional players shift focus to long-term accumulation, the ETFs are seen as the path of least resistance for capital seeking exposure to crypto.

However, Liu cautioned that the momentum is unlikely to be smooth or linear. Flows will continue to track liquidity and price action, with Bitcoin's ability to serve as a clean macro expression of risk-on sentiment being key to sustained inflows according to market commentary.

What This Means for Investors

Bitcoin ETFs are currently absorbing fresh liquidity and working through overhead supply pressure between $93,000 and $120,000. According to Glassnode, 6.7 million Bitcoin are held at a loss, the highest level of the current cycle according to Glassnode data. This top-heavy supply structure is limiting the asset's upside potential and keeping the price range-bound.

The market is closely watching whether sellers can be absorbed above $95,000 or whether fresh liquidity will push the price back above key cost levels. Until that happens, Bitcoin is expected to remain within a structural support zone near $81,000 according to market analysis. Institutional demand remains selective, and while ETF inflows provide some stability, they are not yet enough to drive a sustained bullish breakout.

Risks to the Outlook

Despite the inflow surge, Ethereum-based ETFs continue to struggle with outflows. The U.S. Ethereum spot ETFs have seen a cumulative outflow of $2.248 billion over three consecutive days, with BlackRock's ETHA leading the exodus with $220.72 million in redemptions according to market data. This divergence between Bitcoin and Ethereum ETFs highlights the uneven institutional sentiment across the crypto market.

Solana and XRP ETFs, however, are showing mixed signals. While XRP ETFs have recorded $643 million in cumulative inflows since launch, Solana ETFs recently experienced their first outflows, totaling $8.1 million according to market reports. This suggests that investors are beginning to differentiate between altcoin ETFs based on perceived structural adoption and regulatory clarity.

The broader market remains cautious, especially with the Federal Reserve's anticipated rate cut already priced in and Bitcoin hovering near resistance levels. Analysts emphasize that ETF inflows are more about long-term positioning than short-term speculation, and investors should focus on how these trends evolve over time according to market analysis.