U.S. spot bitcoin ETFs logged $996.4 million in net inflows last week, marking the highest weekly total since the week ended January 16 and extending a streak of positive flows to three consecutive weeks.
Inflow breakdown
BlackRock’s IBIT dominated the week, pulling in $906 million on its own.
Morgan Stanley’s MSBT, which launched on April 8, completed its first full trading week and added $71 million in net inflows.
Over the past three weeks combined, U.S. bitcoin ETFs have drawn in more than $1.8 billion.
Geopolitical backdrop
Analysts pointed to U.S.-Iran diplomacy as a key driver of institutional positioning.
Jeff Mei, COO of BTSE, told The Block:
“Institutional investors believe a permanent de-escalation in tensions between the U.S. and Iran is imminent, and are increasing their long positions on bitcoin ETFs as a result.”
A two-week U.S.-Iran ceasefire is set to expire Wednesday, with fresh tensions emerging after the U.S. seized an Iranian-flagged cargo ship in the Strait of Hormuz.
Iranian sources reportedly said its officials will not join peace talks unless the U.S. lifts its blockade of Hormuz.
Bitcoin price reaction
Amid the re-escalating tensions, bitcoin edged down 0.25% over the past 24 hours to $75,006.
Mei noted that retail demand is improving but cautioned that sustained upward momentum will require additional rate cuts from the Federal Reserve.
He added:
“This was the main factor affecting crypto inflows prior to the U.S.-Iran conflict, and will continue to weigh on sentiment in the mid- to long-run.”
