On July 1st, the continuous net inflow streak of U.S.-based spot Bitcoin 
$77,690 ETFs, which amounted to $4.7 billion over 15 days, came to a halt with a net outflow of $342.2 million. According to SoSoValue’s data, BlackRock’s prominent IBIT fund, previously receiving a $3.8 billion inflow, reported zero activity. Fidelity’s FBTC led the withdrawals with $172.7 million, followed by Grayscale’s GBTC with $119.5 million, Ark Invest’s ARKB with $27 million, and Bitwise’s BITB with $23 million. BRN Chief Research Analyst Valentin Fournier emphasized that while these outflows indicate a pause in institutional accumulation, they do not signal a shift in the trend.
Unexpected Outflows from Bitcoin ETFs
Since their launch in January 2024, U.S. spot Bitcoin ETFs have attracted net inflows totaling $48.63 billion, reaching a size of $128 billion. However, the strong inflow momentum observed over the last 15 days has slowed with weakening daily inflows, eventually reversing. Fournier noted that short-term investor interest has cooled and without new catalysts, Bitcoin is unlikely to surpass $110,000.
Despite the $119.5 million outflow from GBTC, the fund still manages one of the largest asset pools. IBIT’s cessation of flows indicates a cautious phase for the traditionally leading fund. Analysts attribute this shift in ETFs to increasing interest rate uncertainty and upcoming macroeconomic data, resulting in a temporary decline in risk appetite.
On July 1st, Bitcoin fell below the $105,500 threshold but quickly rebounded to approximately $107,800. Vincent Liu, Kronos Research CIO, mentioned that until unemployment claims and other U.S. economic indicators are clarified, a cautious market outlook will persist. The range of $105,000-$110,000 is viewed as a consolidation band providing healthy potential for upward movement.
Ethereum Benefits from Bitcoin’s Pause
Meanwhile, on Tuesday, spot Ethereum 
$2,329 ETFs in the U.S., launched in July 2024, recorded a net inflow of $40.7 million. BlackRock’s ETHA fund alone attracted $54.8 million. Consequently, the total net inflow for Ethereum-based investment products over three days reached $150 million, with cumulative net inflows since launch amounting to $4.3 billion.
Market experts suggest that the pause in Bitcoin may support short-term institutional interest in Ethereum.
