Institutional Bitcoin ETF Flows Surge Despite Recent Price Dip
Despite brief dips below the $116,000 mark, large-volume institutional investors targeted Bitcoin (BTC), adding nearly 11,000 BTC over two trading days.
Institutional “Doubles Down” On Bitcoin Drop
On Tuesday, US Bitcoin spot exchange-traded funds (ETFs) saw significantly increased inflows as BTC reacted sharply lower. According to data firm Glassnode, institutions added approximately 3,400 BTC worth over $480 million Wednesday (“Tuesday’s response: institutions didn’t flinch – they doubled down”).
This inflow follows Monday’s record $800 million increase (“+7.5K $BTC”) in US spot Bitcoin ETFs.
Data displays a stark contrast to institutional behavior during early 2025 market corrections.
Contrasting Institutional ETF Response
The recent institutional behavior, characterized by inflows following a sharp price decline, stands in contrast to February’s experience.
In late February, when BTC dropped from near $100,000 to multi-month lows near $75,000, US spot Bitcoin ETFs recorded net outflows totaling $3.2 billion, including a record daily outflow exceeding $1.1 billion on February 21st.
BTC Price Targeted: $135,000 in Six Months?
The renewed buying pressure from institutions has fueled optimism regarding BTC’s long-term outlook.
Network economist Timothy Peterson noted a significant discrepancy between institutional Bitcoin demand and the token’s fixed, slow-growing supply:
“US Bitcoin ETFs are buying Bitcoin faster than the protocol can produce it… A net -343,000 Bitcoin deficit has resulted from US Bitcoin ETF acquisitions.”
Peterson’s analysis suggests these inflows could push BTC’s price “by another $18,000 by the end of [the] year,” potentially leading to a price level of “$130,000–$135,000” within six months, barring major market shifts.
Disclaimer: This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.