Bitcoin ETFs Experience Renewed Inflows Amid Slowdown, Raising Questions About Institutional Confidence

Inflows are back but, why do they feel weaker than before?

• BTC ETFs see renewed inflows, but momentum slows despite Bitcoin crossing $100K.

• Fidelity gains traction as BlackRock ETF inflows cool.

Bitcoin’s rally past the $100,000 mark has reignited excitement across the crypto landscape, with spot Bitcoin [BTC] ETFs riding the wave of optimism.

Bitcoin ETFs see contrasting inflows

These U.S.-listed funds, which had recently faced outflows amid tariff-related uncertainty, have swiftly rebounded, attracting significant institutional capital.

In just the past two days, i.e., the 7th and the 8th of May, Bitcoin ETFs pulled in a combined $260 million, reflecting renewed investor confidence.

While the aggressive pace of inflows appears to be leveling off, the sustained demand signals that institutional appetite remains strong as Bitcoin continues to test new highs.

However, while Bitcoin has now breached the $100K milestone, the recent ETF inflows haven’t quite matched the intensity seen during previous market recoveries.

Back when BTC was still below $100K, U.S. spot Bitcoin ETFs saw inflows surge as high as $917 million in response to tariff-related rebounds.

In contrast, the most recent data from Farside Investors shows more modest figures: $142.3 million and $117.4 million in inflows on the 7th and the 8th of May, respectively.

Fidelity’s FBTC surpasses BlackRock’s IBIT

What stands out, however, is not just the volume but the evolving behavior of major institutional players like BlackRock and Fidelity, suggesting a potential shift in strategic positioning.

BlackRock’s iShares Bitcoin Trust (IBIT), which has consistently dominated daily inflow charts, appears to be losing some steam.

After recording a staggering $643.2 million in inflows on the 23rd of April, recent figures show a sharp cooldown, with daily contributions slipping to the $30–70 million range.

Analysts suggest this slowdown could reflect a recalibration of investment strategies or signal the end of BlackRock’s initial accumulation phase.

Meanwhile, Fidelity’s Wise Origin Bitcoin Fund (FBTC) is showing renewed strength, garnering over $75 million in inflows across just two days.

This rebound could help Fidelity reclaim ground in the competitive Bitcoin ETF arena, especially after a week of net outflows.

What about Fidelity’s other ETFs?

Now, while Bitcoin ETFs continue to draw investor attention, Ethereum [ETH] funds are facing a different reality.

On the 8th of May, Ether ETFs recorded outflows for the third consecutive day, with $16.1 million exiting the market, all from BlackRock’s ETHA, while the remaining eight Ether funds saw no activity.

Interestingly, Fidelity, though not leading the ETH ETF charge, has taken a strategic leap by advancing into new territory.

Its spot Solana [SOL] ETF filing has now been formally recognized by the U.S. SEC, signaling its broader ambition in the digital asset arena.

While toppling BlackRock’s dominance won’t be easy, Fidelity’s expanding footprint suggests it’s gearing up for a more aggressive presence in the evolving crypto ETF landscape.

Conclusion

As institutional dynamics shift and investors navigate the complexities of the crypto market, key trends are taking shape. The current inflow metrics suggest a cautious yet optimistic posture among sophisticated investors, and the competition between major ETF providers is intensifying. With Fidelity’s strategic moves and BlackRock’s recalibration, the landscape continues to evolve. Observers will be keenly watching how these developments unfold as the crypto sector moves forward.