NEW YORK, May 12, 2024—The week in U.S. Spot Bitcoin ETFs was marked by a mix of enthusiasm and setbacks, reflecting fluctuating investor sentiment. The week began strongly on Monday, May 6, with a remarkable $217 million inflow into U.S. Bitcoin ETFs, highlighting a surge in investor interest. Notably, Fidelity's Bitcoin ETF (FBTC) attracted $99.19 million, while Grayscale's GBTC ETF saw a smaller but significant inflow of $3.9 million.

However, the momentum shifted on Tuesday, May 7, with net outflows of $15.7 million, led by a $28.6 million outflow from Grayscale's GBTC ETF. Despite this downturn, some ETFs, like those from Fidelity and WisdomTree, managed to garner modest inflows.

Midweek, the market showed resilience with a net inflow of $11.5 million on Wednesday, May 8, primarily driven by Bitwise ETF (BITB). Yet, the volatility continued, with Thursday, May 9, seeing net outflows of $11.3 million, though BlackRock's iShares Bitcoin Trust (IBIT) bucked the trend with a $14.2 million inflow.

The week ended on a sour note, with Grayscale's GBTC ETF reporting a substantial $100 million outflow on Friday, May 10, which contributed to a total weekly outflow of $84 million across all Bitcoin ETFs. Despite these fluctuations, the overall weekly inflows remained positive at $116.8 million.

Institutional adoption of Bitcoin ETFs is on the rise, signaling a significant shift in traditional finance's approach to cryptocurrencies. Major financial institutions like JPMorgan and Wells Fargo disclosed substantial holdings in Bitcoin ETFs, underscoring a growing acceptance of digital assets in institutional portfolios.

JPMorgan, despite CEO Jamie Dimon's public criticism of Bitcoin, revealed investments in ETFs by BlackRock, Fidelity, and Bitwise, amounting to over $1 million. Similarly, Wells Fargo reported owning 2,245 shares of Grayscale's GBTC ETF.

This broader institutional embrace of Bitcoin ETFs is expected to enhance liquidity, stability, and credibility in the cryptocurrency market. As more institutional disclosures are expected in the coming weeks, there is potential for a resurgence of inflows, further solidifying the role of Bitcoin ETFs in mainstream finance.