Major ETF Funds Show Significant Inflows
Bitcoin once again crossed the psychologically important $100,000 mark on May 8 amid increasing interest from institutional investors. According to data from Farside Investors, spot Bitcoin ETFs recorded cumulative net inflows of $142.3 million on May 7 alone, which, according to Obchakevich Research founder Alex Obchakevich, indicates “sustained institutional interest.” Leading the inflows were ARK 21Shares Bitcoin ETF (ARKB) with $54 million, Fidelity Wise Origin Bitcoin Fund (FBTC) with $39 million, and BlackRock iShares Bitcoin Trust (IBIT) with $37 million. Additionally, data from Arkham Intelligence shows that BlackRock acquired more than 86 Bitcoin worth $8.4 million in a single transaction on May 7, confirming the aggressive accumulation strategy of the world’s largest asset manager.
Bitcoin ETF Inflow Dynamics: Who’s Leading the Market
The trend of strong inflows into Bitcoin ETFs continued on May 8, when the funds attracted over $117 million. This time, BlackRock’s IBIT took the lead with $69 million, followed by Fidelity’s FBTC with $35 million and ARK Invest’s ARKB with $13 million. This constant shift in leadership among the three largest ETFs underscores the competitive dynamics in the rapidly evolving Bitcoin ETF market.
“We’re observing a consistent diversification strategy from institutional investors,” comments Elena Sokolova, senior cryptocurrency asset analyst at investment company Digital Asset Capital. “Each of the leading ETFs has its nuances in fee structure, liquidity, and institutional support, allowing investors to distribute their investments depending on specific investment goals.”
Obchakevich also noted that the positive trend dates back to May 2, when IBIT inflows reached an impressive $675 million. According to him, “these inflows indicate the activity of institutional investors, including hedge funds and asset managers, who continue to accumulate BTC through regulated instruments.”
It’s particularly noteworthy that large acquisitions are occurring even at prices above $100,000, signaling long-term confidence from institutional investors in the potential of the first cryptocurrency. Before the launch of spot ETFs in January 2025, many analysts had suggested that breaking the six-figure mark might trigger massive profit-taking. However, current data suggests the opposite—major players view even these price levels as attractive for long-term accumulation.
“Current cash inflows into ETFs indicate a fundamental change in the perception of Bitcoin as an asset class,” notes Dmitry Volkov, partner at cryptocurrency hedge fund Blockchain Capital. “Traditional asset managers now view Bitcoin not as a speculative instrument, but as a strategic part of a diversified portfolio, a kind of ‘digital gold’ with anti-inflationary properties.”
Connection to the Tech Sector: Bitcoin and Nasdaq Correlation
An interesting trend that Obchakevich highlighted is the strengthening correlation between Bitcoin and technology stocks. According to his data, “BTC correlation with the Nasdaq was 0.75, indicating the influence of sentiment in the tech market.” He also added that “the positive movement of the Nasdaq on May 8-9 supported BTC, which led to growth above $100,000.”
This high correlation can have dual implications for Bitcoin. On one hand, it indicates the growing integration of cryptocurrency into the traditional financial system and its perception by institutional investors as a technology asset. On the other hand, increased correlation with the technology sector may limit Bitcoin’s potential as a diversification tool during periods of general market turbulence.
“The increased correlation with Nasdaq is a double-edged sword,” explains Alexander Petrov, macroeconomist and cryptocurrency analyst. “It makes Bitcoin more understandable and predictable for traditional investors, but at the same time potentially reduces its value as a ‘safe-haven asset’ in case of a correction in technology markets. However, as long as the technology sector demonstrates strength, this correlation acts more as a positive factor for Bitcoin.”
Obchakevich suggests that “the trend of institutional buying was likely to continue on May 8-9, unless there were sharp macroeconomic or geopolitical shocks.” Many analysts share this opinion, pointing to stable ETF inflows as an indicator of the continuing bull trend.
The Grayscale Situation: Why GBTC Is Experiencing Outflows
Despite the overall positive dynamics of inflows into Bitcoin ETFs, Grayscale Bitcoin Trust (GBTC) continues to show outflows. Obchakevich explains that “the absence of significant outflows in key ETFs other than Grayscale Bitcoin Trust (GBTC) supports the hypothesis that the whales and funds remain bullish.” GBTC outflows, he said, are justified by different factors.
GBTC, being the largest Bitcoin ETF with a higher fee of about 1.5%, faces competition from cheaper alternatives, which affects the price of Bitcoin and market dynamics. According to the analyst, GBTC outflows are caused by “a combination of factors starting with tariffs, the political crisis, and the conflict between Pakistan and India.”
“The GBTC outflow is related to these factors as investors are not confident in the stability of GBTC,” he added.
“The situation with GBTC reflects the natural evolution of the market,” comments Maria Ivanova, head of research at cryptocurrency exchange Digital Exchange. “When GBTC was the only regulated instrument for institutional access to Bitcoin, investors were willing to pay a premium and tolerate high fees. Now, with the emergence of competitive ETFs with fees in the range of 0.2-0.5%, Grayscale faces the need to adapt to new market realities.”
Despite outflows from GBTC, the overall picture remains positive for the Bitcoin ETF market. Inflows into ETFs from BlackRock, Fidelity, and ARK Invest demonstrate sustained institutional interest even at prices above $100,000, confirming the long-term confidence of major investors in Bitcoin’s potential.
As the Bitcoin ETF market continues to mature, further competition can be expected among the main players for attracting institutional funds. This dynamic, combined with macroeconomic factors and Bitcoin’s technical levels, will determine the price movement of the first cryptocurrency in the coming months.