Bitcoin ETFs Draw $1B in Best Week Since April

Bitcoin News

US spot Bitcoin (BTC) exchange-traded funds pulled in roughly $1B of net new money this week, their strongest inflow stretch since April and the third-largest weekly total since October 2025. The rebound, tracked across the largest Bitcoin funds, lands after months of stop-start flows and suggests institutional demand may be re-accelerating after a tepid summer. Analyst data shows the biggest products, including BlackRock's IBIT and Fidelity's FBTC, recorded positive daily flows on every session of the week, a consistency absent from much of the past quarter. That marks a sharp reversal from the stretch since May, when weekly flows repeatedly stalled or reversed, and it lifts the complex out of a prolonged demand lull. The timing has drawn attention to a possible catalyst beyond macroeconomics: a security flaw in the Coldcard hardware wallet developed by Coinkite. Researchers identified a firmware-level weakness affecting how certain devices generate wallet keys, and attackers exploited it to drain roughly 594 BTC in under half an hour. On-chain data shows the incident triggered a broad migration, with around 120,000 long-dormant Bitcoin moved to fresh addresses as holders sought safer storage. The scale of the relocation shows the incident rippled well beyond the directly affected devices, prompting even long-dormant holders to reassess custody. ETF analyst Eric Balchunas argued the episode could ultimately push more investors toward exchange-traded products, since funds hand the technical burden and custody risk to regulated institutions. He cautioned that correlation is not causation and that no direct link between the wallet flaw and this week's inflows has been proven, though he expects some self-custody users to migrate over time. The framing echoes the “silent IPO” thesis, popularized by investor Jordi Visser, which holds that early holders are gradually selling into fresh institutional demand, keeping prices stable even as new money enters the market.

The inflow stretched across the wider US crypto fund complex. Spot Bitcoin and Ethereum exchange-traded products together attracted more than $1B over the five trading sessions, their strongest joint week since April. An earlier count had placed the Bitcoin share at about $853.5M before it firmed toward the $1B noted above, while Ethereum funds added roughly $244.9M to extend their own net-inflow streak to five weeks. BlackRock captured the lion's share: its IBIT and ETHA funds drew approximately $896M, accounting for the large majority of the complex's inflows and a sign of how concentrated demand remains in the largest issuer. The concentration underscores a market in which the largest asset manager continues to act as the primary gateway for regulated exposure, leaving smaller issuers to compete for a shrinking slice of the flow. The volume picture, however, was more muted. Trading in Bitcoin ETFs slipped about 9% to around $8.19B, producing a “price up, volume down” profile in which valuations rose on thinner participation. Such divergence often reflects positioning by larger, longer-horizon buyers rather than high-frequency activity, though it can also mean the move lacks the breadth to sustain itself without fresh catalysts. Ethereum funds' streak underscored broad demand across the largest altcoin products, while Bitcoin itself climbed roughly 3% over the week and briefly printed an August high above $65,300 on Friday before easing, leaving it well below its all-time high. That push coincided with a softer US July payrolls print, which showed nonfarm employment unexpectedly falling by 23,000 and prompted traders to unwind expectations of a September rate hike, lifting risk assets broadly. The return of buyers follows a stretch in which crypto funds bled for eight straight weeks through July, making the renewed strength notable even if thin volume argues for caution. Whether that demand persists will likely hinge on upcoming macro data and any further custody-related headlines.

COINOTAG's proprietary 42-indicator composite scoring engine frames Bitcoin as consolidating within an uptrend near $64,800, with RSI at 53.44 and a bullish MACD. The engine rates the $64,105 support at 77/100, a confluence of high-volume nodes and the Ichimoku Tenkan line, while the $65,367 resistance scores 65/100 on the R1 pivot and the recent swing high. Derivatives are neutral-to-constructive: funding sits at 0.0027% with $12.96B of open interest and a 1.25 long/short ratio, yet COINOTAG's Fear & Greed reading of 31 — solidly in “Fear” — signals cautious positioning. A daily close above $65,367 would target the $67,335 supply zone; losing $64,105 would invalidate the bullish setup and open the door to a bear-market-style pullback toward $62,498.