Spot Bitcoin ETFs gain nearly $1B as geopolitics ease

Spot Bitcoin exchange-traded funds posted $996 million in net inflows last week, the largest weekly intake since early January. The inflows pushed total net assets above $101 billion and coincided with a rise in trading activity, with daily volumes nearing $4.8 billion by Friday.

Data from SoSoValue showed flows were uneven during the week. Friday accounted for $663.9 million of inflows, Tuesday $411.5 million and Wednesday $186 million. Thursday saw $26 million in inflows, and the week began with a $291 million outflow on Monday.

Market participants linked the week’s flows to developments in U.S.-Iran relations. Iran’s foreign minister announced the Strait of Hormuz had reopened to commercial shipping for the duration of a ceasefire, a statement confirmed by the U.S. president. Following the announcement, Bitcoin rose above $77,000 and Brent crude futures fell roughly 10% to near $85 per barrel.

Analysts at Bitunix wrote that markets are pricing how geopolitical tensions will evolve rather than only whether they persist, and that signs of de-escalation have reduced demand for traditional safe havens such as the U.S. dollar. They noted the Federal Reserve remains cautious, expectations for rate cuts are limited ahead of the FOMC meeting, and concerns about U.S. debt demand and elevated long-term yields are weighing on confidence in conventional risk-free assets.

“In crypto market structure, BTC is currently in a classic liquidity redistribution phase,” Bitunix wrote. “Liquidation heatmaps suggest the market is building a new equilibrium range rather than extending a directional trend.”

Trading desks reported concentrated inflows, particularly the large single-day jump on Friday, and said intraday volatility and profit-taking on some days indicate the market is consolidating recent gains.

U.S.-listed spot Bitcoin ETFs have steadily accumulated assets since receiving regulatory approval, offering investors access to Bitcoin through brokerage accounts. The recent rise above $100 billion in assets under management reflects increased use of these funds for direct exposure to Bitcoin.