Bitcoin Spot ETFs See $506M Influx as Institutional Demand Revives

Bitcoin spot exchange-traded funds (ETFs) saw a significant influx of $506 million on Wednesday, their largest daily intake since February 2. This surge in institutional demand follows strong earnings from Nvidia and a broader rebound in technology stocks.

Total crypto market capitalization has risen alongside the price recovery, with Bitcoin trading above $68,000 during the move. BlackRock's iShares Bitcoin Trust led the inflows with approximately $297 million, followed by contributions to funds managed by Bitwise and Fidelity.

Weekly flows have turned positive after five consecutive weeks of net outflows totaling $3.8 billion. On-chain data indicates reduced selling pressure on U.S. exchanges, suggesting a shift towards increased spot demand for the first time since late November.

CryptoQuant analysts point to this change in dynamics as a positive sign, while cautioning that lower selling activity may reflect declining leverage rather than a confirmed trend reversal. Broader macro conditions remain a significant factor in determining sustained upside.