ETF Inflows Return: Is the Bottom In?
ETF Tracker Update: Weekly Flows
Dear Bitcoiners,
After a month of ETF outflows, we’ve finally seen an important turnaround. I already tweeted about it on Tuesday, and every day since has shown substantial inflows. Could this be a sustained shift?
In last week’s newsletter, we discussed how the correction was macro-driven and highlighted key signals to track going forward. If you haven’t read that newsletter or reviewed the signals, you can find it here:
This week, we’ll cover the latest macro insights and discuss several important developments. Along with the shift in ETF flows, we’ll look at the DXY, global liquidity, and current valuation levels. Let’s start with the latest ETF Tracker improvement!
ETF Tracker Update: Weekly Flows
The ETF Tracker now includes weekly flows! One year into the ETF era, weekly data has become very useful. A limited view is available for free, while full historical data is available to paid subscribers.
👉 Key Insight: This was the first week in over five weeks to show net inflows. Not only that, but we haven’t seen a single outflow day this week.
Macro Developments
As discussed last week, this correction is largely driven by broader macro uncertainty. Tariff threats from Trump, global trade risks, and ongoing geopolitical tensions are weighing on the markets.
U.S. Treasury Secretary Scott Bessent called the correction "healthy" and typical for financial markets, similar to what we observed in Bitcoin capital flow data. Bessant expressed confidence that, despite short-term volatility, the administration's policies focused on efficiency in fiscal spending, appropriate tax measures, deregulation, and energy security should drive economic growth. He also suggested that while initial tariffs may be high, they are intended as leverage and could be lowered through successful negotiations.