U.S. spot Bitcoin exchange-traded funds saw a sharp pickup in inflows on Tuesday, marking the strongest daily demand since early October. Experts believe the trend signals a return of institutional buyers after a period of slow activity. Bitcoin and Ethereum prices rose as capital flowed back into ETFs tied to the two largest digital assets.

Bitcoin ETFs See $753.7M Inflows as Institutional Buying Returns

According to data from SoSoValue, U.S. spot Bitcoin ETFs posted $753.7 million in net inflows on Tuesday, the highest daily figure since October 7. Buying activity centered on major issuers, led by Fidelity, whose FBTC fund attracted $351.36 million. Bitwise followed with $159.42 million into BITB, while BlackRock added $126.27 million through IBIT.

Image Source: SoSoValue

Additional inflows came from ARKB with $84.88 million. Smaller amounts went into Grayscale’s Bitcoin trust at $18.80 million, VanEck’s HODL with $10 million, and WisdomTree’s BTCW with $2.99 million.

Several other spot Bitcoin funds reported flat flows during the session, suggesting inflows were concentrated rather than broad-based.

As of press time, BTC is hovering near $95,084 after climbing over 3.25% over the past day. The OG coin posted 16/30 green trading days, pointing to steady upward pressure alongside ETF demand.

Institutional Buying Lifts Ethereum ETFs, Adds $130 Million in One Day

Nick Ruck, director at LVRG Research, said renewed inflows show investors reallocating capital after a period of caution late last year. He described current conditions as a reset following last quarter’s pullback, with institutional buyers returning as risk appetite improves.

Several factors stood out behind the renewed inflows:

Strong ETF demand absorbed the available Bitcoin supply beyond daily miner output
Improved inflation data raised expectations for future interest rate cuts.
Progress on U.S. crypto legislation reduced regulatory uncertainty.
Spot market buying, rather than heavy leverage, drove recent price moves.

Like Bitcoin, Ethereum-based investment products pulled in $130 million in net inflows across five funds. BlackRock’s ETHA led with $53.31 million, followed by Grayscale’s Ethereum fund at $35.42 million.

Bitwise’s ETHW brought in $22.96 million, while Fidelity’s FETH added $14.38 million. Grayscale’s ETHE posted a smaller $3.93 million, with other funds reporting no changes.

Image Source: SoSoValue

Ethereum has climbed over 5% to trade around $3,293 following a strong daily outing. Broader market sentiment remained positive, supported by strong institutional and retail activity.

Vincent Liu, chief investment officer at Kronos Research, linked the inflows to clearer macro signals.

“[The rally] is driven by sustained ETF inflows absorbing supply well beyond miner issuance, creating a structural tailwind. Improving regulatory clarity and the unwind of over-leveraged short positions further accelerated price action, with the rally notably led by spot demand rather than leverage,”

Liu said.

In his view, sustained ETF demand has played a central role in recent price strength, with absorption of supply and reduced short positioning supporting the rally.

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