Live markets: Bitcoin, ether ETFs draw inflows as majors rise as much as 5%

U.S. spot bitcoin ETFs experienced significant inflows of approximately $181 million on Tuesday, rebounding sharply from a $425 million outflow the previous day. Ether ETFs also saw positive inflows, adding about $58 million. The bulk of the bitcoin ETF inflows were driven by BlackRock's IBIT, which attracted roughly $139 million, while Fidelity's FBTC contributed about $21 million. On the ether side, BlackRock's ETHA was the sole contributor to the net inflow, gaining around $58 million. Other funds remained largely unchanged.

These inflows corresponded with a price rally in the underlying cryptocurrencies, with bitcoin ETF prices rising nearly 4% and ether funds climbing about 6%. This represented the strongest single-session gains in several weeks. Consequently, total assets under management for bitcoin ETFs increased from approximately $75 billion to $78 billion, while ether ETF assets surpassed the $10 billion mark.

July has seen volatile and non-directional flows in bitcoin ETFs, with frequent switches between inflows and outflows. The $425 million redemption on July 13 was the largest outflow of the month, and Tuesday’s $181 million inflow was the second largest inflow during this period. Neither inflow nor outflow trends have been sustained beyond a few days, suggesting ongoing market uncertainty.

The resurgence in ETF inflows amid rising prices highlights investor responsiveness to short-term market movements and the dominant role of major institutions like BlackRock and Fidelity in the space. The fluctuating flows and volatile price action could signal continued market indecision in the near term, potentially influencing how these flagship products perform and are positioned going forward.