Bitcoin News Today: U.S. Crypto ETFs Attract $12.8 Billion Inflows in July Surpassing VOO

U.S. crypto ETFs have recorded a landmark performance in July 2025, attracting a record $12.8 billion in net inflows—surpassing even the industry-leading Vanguard S&P 500 ETF (VOO) during the same period [1]. This unprecedented level of investor interest marks the highest monthly inflow for the category to date, with daily inflows averaging around $600 million. Every crypto ETF within the category contributed to the surge, with Bitcoin and Ethereum-based funds sharing equally in the momentum [1].

Eric Balchunas, a senior analyst at Bloomberg, highlighted the significance of the trend, noting that the performance of crypto ETFs reflects a broader shift in investor preferences toward digital assets. The inflows not only outpaced traditional benchmarks but also indicated strong and sustained demand from both new and existing investors [1].

BlackRock’s iShares Bitcoin Trust ETF (IBIT) emerged as a standout performer, attracting a significant number of new investors. According to Balchunas, 75% of IBIT investors were first-time BlackRock customers, while 27% also invested in another iShares ETF [1]. This suggests that the ETF is serving as a gateway for investors to enter both the crypto and broader ETF markets. Since its launch in January 2024, IBIT has been credited with contributing to Bitcoin’s price appreciation, offering a transparent and direct way to invest in the digital asset [1].

The impact of ETF inflows on the crypto market is evident, with Bitcoin’s price rising nearly 300% following the approval and subsequent performance of crypto ETFs. This has led to growing institutional and governmental interest, raising questions about the role of Wall Street and regulatory bodies in shaping the future of digital assets [1]. Analysts note that the price volatility associated with cryptocurrencies is a key factor in investor decision-making, and the availability of ETF structures provides a more accessible and regulated entry point into the space [1].

Currently, Bitcoin trades at $113,763, with the IBIT ETF priced at $64.27 and VOO at $572. While these figures reflect the performance of the underlying assets, they also highlight the relative strength of crypto ETFs in capturing investor attention [1]. Experts suggest that digital asset products are increasingly competing with traditional investment tools, and the continued popularity of crypto ETFs could further accelerate this trend [1].

The growing acceptance of crypto ETFs signals a broader transformation in the financial sector, where digital assets are no longer viewed as speculative investments but as legitimate components of diversified portfolios. These products offer faster access to new asset classes compared to traditional funds and may play a pivotal role in reshaping investment strategies in the future [1].

Source: [1]https://coinmarketcap.com/community/articles/688e766ab174ee2413c58f99/