Spot Bitcoin ETFs Could See Renewed Inflows After Powell Hints at Possible Rate Cuts

• Spot Bitcoin ETFs: $102.58M net inflows, reversing a prior $326M outflow

• Ether ETFs: $236.22M net inflows after a $428M outflow the previous day

• Total spot Bitcoin ETF assets: $153.55B, ~6.82% of Bitcoin’s market cap; cumulative inflows $62.55B

US spot Bitcoin and Ether ETFs inflows rebound after Fed hints of cuts; read updated fund flows, expert reaction, and market context — COINOTAG coverage.

Published: 2025-10-14 | Updated: 2025-10-15 — COINOTAG

What drove the inflows into US spot Bitcoin and Ether ETFs?

US spot Bitcoin and Ether ETFs inflows were driven by improved liquidity expectations after Federal Reserve Chair Jerome Powell signaled the Fed may be approaching the end of quantitative tightening and could consider rate cuts later in the year. The comments prompted a rapid reallocation of capital into crypto ETFs, reversing the prior session’s heavy outflows.

How did Powell’s comments influence ETF flows?

Powell’s remarks at the National Association for Business Economics conference suggested reserves are approaching levels consistent with ample liquidity and that the Fed may pause balance-sheet reductions. Market participants quickly priced in a softer policy path. Data providers reported that spot Bitcoin ETFs recorded a $102.58 million net inflow, while Ether ETFs saw $236.22 million in net inflows the same day, indicating investors reacted to the prospect of easier financial conditions.

US spot Bitcoin and Ether ETFs reversed course with fresh inflows after a wave of outflows following the recent market meltdown.

Fund-level flows showed variation across providers. According to SoSoValue (data provider, plain text), Fidelity’s Wise Origin Bitcoin Fund (FBTC) led Bitcoin fund gains with approximately $132.67 million in inflows, while BlackRock’s iShares Bitcoin Trust (IBIT) registered a modest $30.79 million outflow. Across all spot Bitcoin ETFs, total net assets reached about $153.55 billion — roughly 6.82% of Bitcoin’s market capitalization — with cumulative inflows to date at $62.55 billion.

Ether-focused products mirrored the rebound. Fidelity’s Ethereum Fund (FETH) reported the largest single-fund inflow at $154.62 million, followed by Grayscale’s Ethereum Fund (ETH) with $34.78 million and Bitwise’s Ethereum ETF (ETHW) with $13.27 million, per SoSoValue plain-text data.

Spot Bitcoin ETFs turn positive. Source: Farside

Market strategists said the Fed commentary was the immediate catalyst. Vincent Liu, chief investment officer at Kronos Research (plain text), told reporters that “an October rate cut will have markets taking flight, with crypto and ETFs seeing liquidity flow and sharper moves.” Liu added that digital assets typically benefit when capital seeks higher expected returns in a softer rate environment.

Crypto product resilience and broader flows

Industry data (CoinShares, plain text) indicates crypto investment products remained resilient during the recent market turmoil. CoinShares reported $3.17 billion in inflows for the prior week despite a flash crash tied to geopolitical tensions, noting just $159 million in outflows on the panic day even as $20 billion of positions were liquidated on exchanges. Cumulative inflows for 2025 stood at $48.7 billion, surpassing the prior year’s total at this point.

These figures suggest that institutional demand continues to underpin crypto ETFs and funds even during episodic volatility. The reappearance of inflows after a major outflow episode underscores how quickly flows can reverse on macro developments and liquidity expectations.

Frequently Asked Questions

How much did US spot Bitcoin ETFs attract in inflows on the rebound day?

Spot Bitcoin ETFs logged approximately $102.58 million in net inflows on the rebound day, according to SoSoValue (plain-text data). This followed a significant $326 million outflow reported the previous session.

Why did Ether ETFs see even larger inflows than Bitcoin on that day?

Ether ETFs recorded about $236.22 million in net inflows, driven by strong demand for diversified crypto exposure and large purchases in Fidelity’s Ethereum Fund (FETH). The magnitude reflects both product-specific allocations and broader risk-on positioning after Fed comments.

Key Takeaways

• Fed commentary moved markets: Jerome Powell’s signal of nearing an end to quantitative tightening prompted renewed ETF inflows.
• Inflow magnitude: Spot Bitcoin ETFs saw ~$102.58M and Ether ETFs ~$236.22M on the day of the rebound, per SoSoValue data.
• Product resilience: Crypto investment products recorded $3.17B in inflows during the turbulence, per CoinShares (plain text), showing ongoing institutional interest.

Conclusion

The reversal into US spot Bitcoin and Ether ETFs highlights how macro signals — particularly from the Federal Reserve — can swiftly reshape asset flows. Data from market trackers shows a decisive move back into both Bitcoin and Ether funds, with notable contributions from major providers such as Fidelity and others. COINOTAG will continue monitoring fund flows and regulatory developments; readers should follow official fund data and exchange reports for the latest figures.