Investors Pour Into Bitcoin ETFs for 8th Straight Day | ETF News

On Tuesday, institutional investors continued to pour capital into spot Bitcoin ETF funds, marking the eighth consecutive day of capital inflow.

The total net capital flow across all listed US Bitcoin ETFs exceeded 170 million USD for the day, consolidating the optimistic sentiment that has dominated the market since last week.

Bitcoin ETFs Record 8th Consecutive Day of Capital Inflow

Yesterday, the BTC-supported funds recorded an additional net capital flow of 172.78 million USD. This demonstrates sustained confidence in this asset type.

BlackRock's iShares Bitcoin Trust (IBIT) once again led the way, recording the highest daily capital inflow among all issuers. On Tuesday, the fund recorded a daily net capital flow of 216.73 million USD, raising its total historical net capital flow to 42.39 billion USD.

IBIT has continuously dominated in recent sessions, reflecting BlackRock's influence in the cryptocurrency ETF space and the sustained institutional confidence in its products.

Meanwhile, Bitwise's spot Bitcoin ETF (BITB) recorded the highest net capital outflow among all issuers on Tuesday, with 24.39 million USD withdrawn from the fund. However, BITB's total historical net capital flow remains strong at 2.05 billion USD.

Leverage Cooling Down in the Bitcoin Market

The open interest in the Bitcoin Futures Contract market slightly decreased today. This indicates a degree of cooling in leveraged positions, as some traders close their positions.

Currently, it stands at 61.81 billion USD at the time of writing, decreasing by 3% in the past 24 hours. During this period, BTC price increased by 1%.

When an asset's price rises while open interest decreases, traders are taking profits or reducing risk, indicating caution despite the price increase. This trend suggests a lack of commitment in BTC's price surge, with few participants willing to take on new leveraged positions.

However, the broader market sentiment remains optimistic. BTC's funding rate is currently 0.004%, indicating that buy positions are still willing to pay to maintain leverage.

The funding rate is a periodic payment between buy and sell traders in perpetual futures contracts, used to keep the contract price aligned with the spot market. When the funding rate is positive, buyers are paying sellers, indicating that many traders are betting on price increases, a sign of optimistic market sentiment.

Furthermore, the increase in Call Option volume suggests that traders are positioning for the next coin price increase.

Although derivative activity shows some small signs of uncertainty, the continuous capital inflow into spot Bitcoin ETFs indicates that the market still leans towards an upward trend in the short term.