Bitcoin ETFs Record Highest Inflows Since October Crash, But Retail Doubts The Rally

• BlackRock’s iShares Bitcoin Trust led inflows with $648.4 million, reclaiming the top spot among spot ETFs.
• Fidelity’s Wise Origin Bitcoin Fund followed with $125.4 million after leading inflows earlier in the week.
• Santiment data showed social media sentiment toward Bitcoin turning increasingly bearish despite recent price gains.

Bitcoin (BTC) exchange-traded products recorded the highest inflows since the market crash in October last year that wiped over $19 billion from the market, but the gap between institutional flows and retail sentiment seems to be widening.

Bitcoin’s price was up 1.5% in the last 24 hours at around $96,400, paring gains, retreating from earlier highs after briefly approaching $98,000. Farside Investors tally showed spot BTC ETFs recorded $840.6 million in inflows on Wednesday, the highest on record since October. However, Santiment data showed that commentary towards the cryptocurrency across social media has only turned more bearish. 

In a post on X, the firm said retail traders on platforms like X and Reddit are increasingly pessimistic about Bitcoin’s rally, even though the cryptocurrency has gained more than 7% over the past week. Santiment predicted that Bitcoin could hit $100,000 for the first time since November on the fear, uncertainty and doubt (FUD). It noted that retail fear has preceded breakouts in past cycles as well.

On Stocktwits, retail sentiment around Bitcoin remained in ‘bullish’ territory over the past day as chatter rose to ‘high’ from ‘normal’ levels.

Bitcoin ETF Flows Rebound

The bulk of Wednesday’s inflows came from BlackRock’s iShares Bitcoin Trust (IBIT), which rebounded after lagging in recent inflows. The fund attracted $648.4 million, reclaiming the top spot. It overtook Fidelity’s Wise Origin Bitcoin Fund (FBTC), which brought in $125.4 million after leading ETF inflows for the previous four sessions.

IBIT and FBTC moved over 1% lower in after-hours trade after clocking gains of over 3% in regular trading. Both saw an uptick in retail sentiment. FBTC moved to ‘extremely bullish’ from ‘neutral’ territory while retail sentiment around IBIT improved to the ‘bullish’ zone over the past day. 

Read also: Arthur Hayes Goes Long On Strategy, Metaplanet Betting On Bitcoin Rebound – Continues To Add To Zcash Stack

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