Bitcoin ETF funds saw a total inflow of $219 million, concluding a streak of six consecutive outflow days. This marks a significant change in investor sentiment.
Inflows into Bitcoin ETFs
Recent data from the ETF data platform SoSoValue showed that Bitcoin spot ETFs rebounded on Monday. The six-day outflow period started on August 15, with the largest outflows recorded at $523.31 million on August 19.
Leaders in the ETF Recovery
Fidelity and BlackRock led the inflows on Monday, with Fidelity’s Wise Origin Bitcoin Fund (FBTC) bringing in $65.56 million and BlackRock’s iShares Bitcoin Trust (IBIT) attracting $63.38 million. ARK Invest’s ARK 21Shares Bitcoin ETF (ARKB) added $61.21 million to the mix.
Causes of Outflows and Investor Sentiment Changes
CoinShares’ head of research, James Butterfill, pointed out that recent outflows were the largest losses for crypto funds since March. He attributed the sell-off to increasingly polarized opinions on US monetary policy. The sentiment shifted positively following Federal Reserve Chair Jerome Powell's address, which was seen as more dovish than expected.
The rebound of Bitcoin ETF funds following a period of outflows signals a shift in investor sentiment, potentially indicating the beginning of a new wave of interest in cryptocurrencies.
