Exchange-traded funds (ETFs) in cash on Bitcoin recorded approximately $1.7 billion in net inflows over three consecutive sessions last week, marking the strongest surge in institutional demand since the beginning of October.
The midweek buying frenzy peaked on Wednesday with $843.6 million in net inflows, the largest single-day collection in 2026, followed by $754 million on Tuesday, according to data from Farside Investors.
BlackRock's iShares Bitcoin ETF dominated inflows, capturing $648 million on Wednesday alone and setting a new daily record for the fund, while Fidelity's FBTC added $125 million.
Supply dynamics are evolving
Vincent Liu, Chief Investment Officer at Kronos Research, told Cointelegraph that on-chain indicators show that large holders have reduced their net selling compared to the end of December, easing distribution pressure.
The absorption by ETFs, combined with the stabilization of whales, implies a tightening of effective supply and a more favorable market environment for risk, Liu said, adding that the probabilities lean towards more positive price action, although volatility will persist.
The three-day push has brought cumulative net inflows into ETFs above $58.1 billion since their launch in January 2024, with total assets reaching $128 billion, representing about 6.56% of Bitcoin's total market capitalization.
Also read: Major US Mortgage Lender Newrez To Accept BTC, ETH For Home Loans Starting February
Friday's profit-taking tempers weekly gains
On Thursday, approximately $395 million in outflows were recorded as Bitcoin traded around $95,000, slightly below the $97,000 threshold reached earlier in the week, indicating that some investors locked in their profits after the rapid appreciation.
This configuration reversed the weakness from early January, when ETFs had shed more than $1.1 billion over four sessions between January 6 and 9, suggesting that institutional flows remain volatile despite structural accumulation trends.
Ethereum ETFs recorded approximately $479 million in weekly inflows, with Tuesday's session at $290 million being the strongest, although Friday also saw $180 million in redemptions, which reduced overall gains.
The Ecoinometrics newsletter highlighted that recent spikes in ETF inflows have historically triggered short-lived price rebounds rather than sustainable rallies, with gains tending to fade once inflows slow down.
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