The cryptocurrency market has seen a powerful resurgence, marked by record-breaking inflows into Bitcoin and Ethereum exchange-traded funds (ETFs). On Thursday, 22 May 2025, net inflows across crypto ETFs topped $1 billion, the highest daily total since November 2024. This renewed investor interest is driven primarily by Bitcoin’s latest all-time high, pushing traders and institutions to allocate more funds into digital asset-backed investment products.
Bitcoin ETFs Attract Record Inflows
Spot Bitcoin ETFs led the charge with a staggering $934 million in net inflows on a single day, their strongest performance since mid-January. This inflow surge has brought the total assets under management (AUM) in Bitcoin ETFs to a remarkable $104 billion. The increase reflects heightened institutional appetite and growing mainstream acceptance of Bitcoin as a legitimate asset class.
Total Bitcoin spot ETF net inflows | Source: CoinGlass
Among the top-performing ETFs was BlackRock’s iShares Bitcoin Trust (IBIT). The fund now holds a massive 651,620 Bitcoins, making it the second-largest holder of Bitcoin globally—behind only the pseudonymous Bitcoin creator Satoshi Nakamoto, whose wallet remains untouched with approximately 1.123 million BTC. This milestone also sees BlackRock leapfrogging Binance, once the dominant player in terms of Bitcoin holdings.
Michael Saylor’s MicroStrategy, which has long been an outspoken advocate for Bitcoin, now ranks fourth in holdings, with a more modest 576 Bitcoins, suggesting that the ETF landscape is rapidly reshaping the top-tier ownership hierarchy in the crypto space.
Ethereum ETFs See Momentum Build
Ethereum ETFs also witnessed a strong rally, with net inflows reaching $110 million—their best day since 4 February. Grayscale’s Ethereum Trust (ETHE) was the top gainer, pulling in $43.7 million in a single session. This marks the fifth straight day of positive inflows for Ethereum-focused ETFs.
Total Ethereum spot ETF net inflows | Source: CoinGlass
Ethereum’s strong price performance has undoubtedly played a role. Since the beginning of May, ETH has climbed by 44%, rekindling investor enthusiasm. As a result, Ethereum ETFs now manage a collective $10.07 billion in assets. The sustained interest also indicates a broader bullish sentiment, with speculation growing that more altcoins could soon receive approval for their own spot ETFs.
Market Resilience Amid Broader Economic Uncertainty
The timing of this crypto market rally is especially noteworthy given the concurrent turbulence in traditional financial markets. With U.S. government debt concerns and trade tariffs creating ripples in equities, the crypto market has remained unusually resilient. Bitcoin’s ability to hit a new all-time high—$111,970 on 22 May—amid such macroeconomic volatility has further solidified its reputation as a potential hedge asset.
This decoupling from traditional markets could signal a shift in investor behaviour, where digital assets begin to be viewed less as speculative plays and more as strategic portfolio diversifiers.
Looking Ahead: ETFs Drive Mainstream Crypto Adoption
The surge in ETF inflows underscores the growing importance of regulated crypto investment products. Spot ETFs, in particular, offer a simplified and secure route for institutional and retail investors alike to gain exposure to digital assets without direct custody concerns.
With Bitcoin ETFs now controlling over $100 billion in assets and Ethereum funds gaining renewed momentum, the crypto ETF market appears set for a significant expansion. Market watchers are already speculating about potential ETF approvals for other tokens like Solana and Avalanche, which could further fuel the next wave of capital inflows.
