Bitcoin ETF Inflows Hit Three-Week Streak as Capital Flees Ether and Altcoin Funds
Bitcoin spot ETFs logged a third consecutive week of net capital inflows, demonstrating sustained institutional preference for the market leader. Conversely, Ether ETFs suffered a sharp reversal with $138 million in net outflows while privacy funds also shed capital. This divergence signals that traditional allocators are consolidating risk into Bitcoin rather than diversifying into broader crypto assets.
Institutional liquidity is clearly picking sides as spot Bitcoin exchange-traded funds notched their third consecutive week of positive net flows. While capital continues to accumulate in the market leader, secondary products are feeling the squeeze. Ether funds reversed recent gains to shed $138 million in a single week, accompanied by privacy-focused vehicles like Zcash recording their first weekly outflows.
This pronounced divergence highlights a strategic rotation among institutional allocators. Rather than treating crypto as a unified asset class to be bought broad-market style, institutions are treating Bitcoin as an isolated macro hedge while pulling back from smart-contract platforms and niche tokens.
In the short term, this selective bid keeps Bitcoin supported against broader macro headwinds while capping Ether upside. Until capital flows broaden beyond the apex asset, ETH and major altcoins face persistent structural selling pressure from traditional financial vehicles.