Daniel Walker
In a dramatic show of institutional interest, U.S. spot Bitcoin ETFs recorded $936 million in net inflows on Tuesday — marking the largest single-day total since January 17, according to SoSoValue data. Analysts point to mounting geopolitical tensions and economic uncertainty as the key drivers behind this renewed conviction in Bitcoin.
All 10 spot Bitcoin ETFs tracked experienced positive inflows, with Ark & 21Shares leading the pack at $267.1 million. Fidelity’s FBTC followed with $253.8 million, and BlackRock’s IBIT saw $193.5 million flow in. This brings three-day cumulative inflows to over $1.4 billion, underlining a significant institutional push back into crypto markets.
Institutions Embrace Bitcoin Amid Economic Shifts
According to Rachael Lucas, crypto analyst at BTC Markets, these flows signal a transformational shift in capital allocation. “Institutional investors are re-entering the crypto space, driven by a perfect storm of macroeconomic disruption, Bitcoin’s scarcity model, and its rising legitimacy as a portfolio staple,” Lucas noted.
Bitcoin’s resilience continues to impress. As of publication time, BTC is trading at $93,765, up 6.4% in the past 24 hours, defying the broader market’s nervous sentiment.
Digital Gold Narrative Gains Strength
Min Jung, analyst at Presto Research, emphasized that Bitcoin is increasingly being viewed as a modern hedge against global instability. “While it may not be a full-fledged ‘safe haven’ just yet, its relative stability during recent global shocks is driving the perception of Bitcoin as ‘digital gold,’” Jung stated.
Lucas also added that persistent U.S. dollar weakness, sticky inflation, and expectations of renewed quantitative easing are adding fuel to the rally. “Spot ETFs now manage over $103 billion in BTC, absorbing supply and putting consistent upward pressure on price,” she explained.
Policy Shifts Boost Market Sentiment
Political clarity is also aiding Bitcoin’s momentum. Despite earlier tensions, the Trump administration softened its stance on two major fronts on Tuesday. According to CNBC, Treasury Secretary Scott Bessent predicted an imminent “de-escalation” in the U.S.-China trade dispute. On the same day, Trump reversed course, stating he has “no plans” to replace Fed Chair Jerome Powell, easing market jitters.
More Flows Likely Ahead as Conditions Align
Looking ahead, Vugar Usi Zade, COO at Bitget, anticipates further ETF demand if the dollar weakens further and the Fed leans more dovish. “Global liquidity trends, geopolitical stress, and pro-crypto legislation — such as the proposed Bitcoin Act — are all tailwinds for Bitcoin ETF inflows,” he said.
