US spot Bitcoin ETFs add $225M as BlackRock’s IBIT offsets redemptions

US spot Bitcoin ETFs saw mixed trading flows Tuesday, with BlackRock’s iShares Bitcoin Trust ETF (IBIT) offsetting redemptions.

Spot Bitcoin (BTC) exchange-traded funds (ETFs) logged $225.2 million in net inflows, according to data from SoSoValue.

The gains were driven largely by IBIT’s $322.4 million in inflows, which offset $89.3 million in outflows from Fidelity Wise Origin Bitcoin Fund (FBTC) and $28.2 million from Grayscale Bitcoin Trust ETF (GBTC), according to Farside data.

The latest inflows bring the weekly figure to $683.3 million, adding to last week’s $787.3 million in inflows, the first week of positive flows after a five-week outflow streak totaling nearly $4 billion.

The inflows came as crypto market sentiment remained cautious, with “extreme fear” persisting despite BTC rebounding by 5.4% over the past seven days, according to CoinGecko.

Ether fund flows turn negative amid market uncertainty

In line with broader market uncertainty, Ether (ETH) ETFs slipped into negative territory, posting $10.8 million in outflows.

XRP (XRP) and Solana (SOL) funds remained in positive territory, with inflows totaling $7.5 million and $1 million, respectively.

The mixed trading in crypto funds came as geopolitical risks tied to the Middle East conflict weighed on investor sentiment.

The Crypto Fear & Greed Index, a widely followed gauge of market sentiment, fell to 10 on Wednesday after briefly recovering to 14.

American billionaire and hedge fund manager Ray Dalio criticized Bitcoin on the All-In Podcast Tuesday, citing its limited privacy, potential quantum computing risks and small market size.

“I think Bitcoin has received a lot of attention, but as a form of money, it’s small compared with gold. There is only one gold,” he said.

Bitcoin advocates, including Bitwise chief investment officer Matt Hougan, pushed back on the criticism, framing it as a long-term opportunity. “Some hear criticism; I hear opportunity,” Hougan said in an X post, adding:

“These are the reasons Bitcoin is 4% the size of gold. If these critiques did not exist, Bitcoin would already be around $750,000 per coin. I invest in Bitcoin in part because I am confident these things will change over time.”

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