After a rough start to the week, U.S. spot Bitcoin and Ether ETFs bounced back on Tuesday with fresh inflows, signaling renewed investor confidence following recent market turbulence.
Data from SoSoValue shows spot Bitcoin ETFs pulled in $102.58 million in net inflows, reversing Monday’s heavy $326 million outflow. Fidelity’s Wise Origin Bitcoin Fund (FBTC) led the charge with $132.67 million in new inflows, while BlackRock’s iShares Bitcoin Trust (IBIT) recorded a smaller $30.79 million outflow.
In total, spot Bitcoin ETFs now hold $153.55 billion in assets, representing 6.82% of Bitcoin’s market cap, with cumulative inflows reaching $62.55 billion.
Ether ETFs saw a similar rebound. After suffering $428 million in outflows a day earlier, they recorded $236.22 million in net inflows on Tuesday. Fidelity’s Ethereum Fund (FETH) brought in $154.62 million, followed by Grayscale’s Ethereum Fund with $34.78 million and Bitwise’s Ethereum ETF with $13.27 million.
Powell signals possible rate cuts
Federal Reserve Chair Jerome Powell hinted that rate cuts could arrive before the end of the year, offering relief to both traditional and crypto markets. Speaking at the National Association for Business Economics conference, Powell said the Fed is nearing the end of its balance sheet reduction phase and that reserves are now “somewhat above the level consistent with ample liquidity.”
“An October rate cut will have markets taking flight, with crypto and ETFs seeing liquidity flow and sharper moves,” said Vincent Liu, CIO at Kronos Research. “Expect digital assets to feel the lift as capital seeks efficiency in a softer rate environment,” he added.
Crypto funds stay strong despite market crash
Despite last week’s flash crash triggered by renewed U.S.-China tariff tensions, crypto investment products remained surprisingly resilient. According to CoinShares, the market saw $3.17 billion in inflows, with only $159 million in outflows on the day of the sell-off — even as $20 billion worth of positions were liquidated across exchanges.
This resilience has pushed total crypto inflows for 2025 to $48.7 billion, already surpassing last year’s total.
“Easing U.S.-China tariff tensions and growing interest in digital assets as a hedge against currency debasement are fueling this renewed demand,” Liu said.
Posted Using INLEO