Bitcoin ETFs saw $85 million in inflows yesterday, marking four straight days of positive movement. However, the slowing momentum suggests investor caution as BTC struggles to hold above $105,000.

Profit-Taking Weighs on ETF Demand

BTC closed at $105,671 on Thursday as traders locked in profits from the recent rally. This sell pressure has cooled institutional interest:

• Daily ETF inflows dropped to $86.31M, showing weakening demand.
• Fidelity’s FBTC led outflows with $197.19M withdrawn—its total inflows now at $11.49B.

While inflows continue, the declining trend hints at fading bullish conviction.

BTC Price Dips, But Traders Stay Optimistic

Bitcoin fell 3% in 24 hours, extending its recent slump. Yet, derivatives traders remain bullish:

• Funding rates stayed positive (0.0019%), meaning longs still dominate.
• Call options outnumber puts, signaling expectations for a rebound.

This divergence suggests traders are betting on a recovery despite spot market weakness.

What’s Next for Bitcoin ETFs?

• If BTC stabilizes, inflows could rebound as confidence returns.
• If selling persists, ETFs may see outflows, worsening the downturn.

For now, the market sits at a crossroads—will institutional demand return or fade further?