Bitcoin ETFs Erase $5.7 Billion Deficit, But Profit-Taking Is Eating Into New Demand
U.S.-listed Bitcoin ETFs attracted over $1.7 billion in new capital this week, with $999 million flowing in on September 21 and $715 million on September 22. Since the low point on July 13, approximately $6.04 billion has flowed back into these products, bringing the year-to-date net inflow total to about $349 million, erasing the previously accumulated deficit of $5.69 billion. BlackRock's iShares Bitcoin Trust (IBIT) attracted approximately $1.02 billion over four trading days. However, as Bitcoin's price retreated to $84,589 after briefly rising to $87,265 in the past 24 hours, short-term holders are taking significant profits, with approximately 47,600 Bitcoins (worth over $4 billion) transferred to exchanges, offsetting some of the buying pressure from ETFs. Analysts warn that unusually large ETF inflows often coincide with local market turning points, as investors tend to chase exposure after significant Bitcoin rallies, which could make the market more vulnerable when demand weakens.
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