Bitcoin and Ethereum ETFs recorded over $1 billion in net inflows on a single day, marking their strongest performance in months. This influx comes amid renewed crypto market enthusiasm and a growing perception of Bitcoin as a legitimate institutional asset.
Bitcoin ETFs Dominate the Scene
The bulk of Thursday’s inflow—nearly $935 million—went into Bitcoin ETFs, with BlackRock’s iShares Bitcoin Trust (IBIT) taking the lion’s share at $877 million. With this latest surge, IBIT’s year-to-date inflows have exceeded $7.7 billion, placing it among the top-performing ETFs in the United States—crypto or otherwise.
Other Bitcoin ETFs like Fidelity’s FBTC and ARK’s ARKB contributed to the uptick, but BlackRock’s dominance remains the key story. This marked the seventh consecutive day of positive net flows for spot Bitcoin ETFs, which together have attracted over $44 billion since their January launch.
Ethereum ETFs Join the Rally
While Bitcoin continues to lead, Ethereum ETFs are also gaining momentum, registering $110.5 million in inflows on the same day—their best performance since February.
Grayscale’s ETHE led with nearly $44 million, followed closely by Fidelity’s FETH. Even Bitwise’s ETHW added meaningful volume. This marks five straight days of inflows for Ethereum ETFs, with $210 million collected in May so far—an encouraging trend as ETH products gain traction.
What’s Fueling the Inflows?
The record-breaking day is driven by several converging factors:
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Bitcoin’s rally to near $110,000 earlier this week brought renewed media and investor attention.
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Inflation concerns and macroeconomic uncertainty have institutional investors seeking alternative assets.
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ETFs offer an easy and regulated path to crypto exposure, reducing the friction of self-custody or on-chain management.
BlackRock’s IBIT has become one of the most traded ETFs in the U.S., confirming that crypto is entering mainstream portfolio strategies.
Regulatory Delays Still Loom
Despite the momentum, the U.S. Securities and Exchange Commission (SEC) continues to delay decisions on in-kind redemptions for both Bitcoin and Ethereum ETFs. Currently, redemptions are handled in cash, which is less efficient. Allowing in-kind redemptions would enable institutional investors to swap shares directly for crypto assets, potentially making ETFs cheaper and more tax-optimized.
While the delay wasn’t unexpected, it underscores the ongoing lack of regulatory clarity in the U.S. crypto space.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments are volatile and risky. Always conduct your research before making any investment decisions.
