Spot Bitcoin and Ether exchange-traded funds (ETFs) saw a surge of institutional inflows on Friday, pulling in more than $1 billion combined. The strong demand underscores growing investor confidence in digital assets as macroeconomic conditions stabilise and market momentum strengthens.
Bitcoin ETFs Lead with $642 Million
Spot Bitcoin ETFs attracted $642.35 million in net inflows on Friday, according to data from SoSoValue. This marked the fifth consecutive day of positive flows, lifting cumulative inflows to $56.83 billion. Total net assets now stand at $153.18 billion, representing around 6.6% of Bitcoin’s total market capitalisation.
Fidelity’s FBTC was the day’s leader, securing $315.18 million in fresh capital, followed by BlackRock’s IBIT, which pulled in $264.71 million. Trading activity was equally robust, with volumes across all spot Bitcoin ETFs surpassing $3.89 billion. Both IBIT and FBTC closed the day with gains of over 2%, signalling renewed institutional positioning.
This strong showing comes after a quieter start to the month, suggesting that institutional sentiment is shifting in favour of Bitcoin as markets stabilise and interest in digital assets deepens.
Ether ETFs Mirror the Momentum
Ethereum-based ETFs also experienced significant inflows, drawing in $405.55 million on the same day. This marked the fourth straight day of net gains, bringing total inflows for Ether ETFs to $13.36 billion. Net assets across Ether products now sit at $30.35 billion.
BlackRock’s ETHA secured $165.56 million, while Fidelity’s FETH brought in $168.23 million. ETHA alone saw $1.86 billion in value traded, reflecting growing demand for Ethereum exposure through institutional investment vehicles.
The strong activity signals that investor confidence is not limited to Bitcoin. Ethereum’s growing role in decentralised finance and its recent ETF approvals are fuelling institutional interest in ETH as a long-term asset.
Institutional Confidence on the Rise
Vincent Liu, chief investment officer at Kronos Research, highlighted that sustained ETF inflows indicate building trust in digital assets among professional investors.
“Bitcoin and Ethereum spot ETFs keep seeing strong inflows, showing rising institutional confidence,” Liu said. “If macro conditions hold, this surge could strengthen liquidity and drive momentum for both assets.”
The inflows come against a backdrop of improving global risk appetite and stabilising interest rate expectations, which are key factors in driving institutional participation in risk-on assets like crypto.
BlackRock Eyes Tokenisation of ETFs
Amid the strong ETF demand, BlackRock is reportedly exploring the tokenisation of ETFs on blockchain networks. The asset management giant, already a leader in the spot Bitcoin ETF market, is studying how tokenisation could unlock new functionality such as 24/7 trading, programmability and integration into decentralised finance (DeFi) ecosystems.
The company is also considering expanding into tokenised funds tied to real-world assets (RWAs), though regulatory challenges remain a hurdle. If successful, tokenised ETFs could blur the lines between traditional markets and blockchain-based finance, offering investors unprecedented flexibility.
Outlook
The latest surge of inflows into both Bitcoin and Ether ETFs highlights growing institutional conviction in crypto as a legitimate asset class. While trading remains tied to traditional market hours for now, BlackRock’s interest in tokenisation points to a future where ETFs could be integrated seamlessly into DeFi.
If macroeconomic stability continues and liquidity expands, Bitcoin and Ethereum could see further price support, driven by the steady flow of institutional capital into spot ETFs.
