🌎 Bitcoin ETF Inflows Decline

Bitcoin ETF Inflows Decline Despite Trump’s Inauguration

Contrary to expectations, inflows into spot Bitcoin exchange-traded funds (ETFs) in the United States slowed down over the past week, following President Donald Trump’s inauguration. Despite a brief surge on January 17, which saw over $1 billion invested in these funds, the overall inflows declined by approximately 10.5% compared to the previous week.

Weekly Inflows Taper Off

According to recent data, the 12 spot Bitcoin ETFs attracted around $1.76 billion from investors, a significant decrease from the $1.96 billion recorded in the previous week. This decline in inflows coincided with a shift in Bitcoin’s price momentum following President Trump’s signing of an executive order on January 23.

Investment Products See Mixed Results

On the first business day after Trump took office, these investment vehicles managed to attract $802.5 million from investors, with BlackRock’s IBIT leading the group at $661.9 million. However, the net inflows for the following two days were reportedly much lower, at $248.65 million and $188.65 million, respectively.

Reversal in Trend on January 24

The trend of diminishing inflows appeared to reverse on Friday, January 24, as the BTC ETFs saw $517.67 million flowing into the funds. Fidelity’s FBTC led the pack on the day, drawing in $186.07 million from investors, closely followed by ARK 21Shares’ ARKB and BlackRock’s IBIT.

More modest inflows were observed in Grayscale Bitcoin Mini Trust and WisdomTree’s BTCW, which saw $13.01 million and $2.79 million enter their funds. Bitwise’s BITB, however, stood out as the only outlier of the day, with $8.6 million withdrawn by investors.

Executive Order Falls Short of Expectations

The executive order aimed to establish a working group focused on digital assets and assess the potential for creating a government-held stockpile of seized cryptocurrencies. However, it stopped short of proposing the establishment of a strategic Bitcoin reserve—a move many crypto advocates had been eagerly anticipating.

Bitcoin Price Momentum

At press time, Bitcoin is down 4.5% over the past day and 1.4% over the past week, retracing toward the critical $100k psychological support level. Many experts believe this level is essential for Bitcoin to regain momentum and chart a path toward a new all-time high.