US-listed spot Bitcoin ETFs recorded their strongest single-day inflows since January as Bitcoin moved back above the $80,000 mark. However, on-chain data provider CryptoQuant cautioned that the latest rebound may still lack strong fresh buying pressure.
US spot Bitcoin ETFs attracted approximately $730.9 million in net inflows on Thursday, marking their largest one-day inflow since Jan. 14, when the products recorded $843.6 million, according to SoSoValue data.
The strong inflow followed $101.2 million in purchases on Wednesday and coincided with Bitcoin recovering above $80,000 after fluctuating between roughly $76,000 and $81,000 during the week.
Despite the renewed institutional demand, CryptoQuant remains cautious about the sustainability of the move. Its analysis suggests that a significant portion of Bitcoin’s recent recovery has been driven by short sellers closing positions rather than aggressive new long positions.
BlackRock’s IBIT Leads ETF Buying
BlackRock’s iShares Bitcoin Trust (IBIT) accounted for the largest share of Thursday’s ETF inflows.
The fund attracted around $454 million, representing roughly 62% of the day’s total inflows, according to Farside Investors data. IBIT remains the largest US spot Bitcoin ETF by net assets.
Other funds also recorded substantial buying:
- ARK 21Shares Bitcoin ETF (ARKB): $137.7 million in inflows
- Fidelity Wise Origin Bitcoin Fund (FBTC): $74.4 million in inflows
- VanEck Bitcoin ETF (HODL): $19.6 million in outflows
- WisdomTree Bitcoin Fund (BTCW): $5.2 million in outflows
Although Thursday marked the strongest combined ETF inflow since January, IBIT itself previously recorded a larger single-day inflow of approximately $503 million on Aug. 20.
The latest figures nevertheless indicate renewed institutional interest following a period of weaker ETF demand and increased Bitcoin price volatility.
Bitcoin Needs More Fresh Demand
CryptoQuant’s assessment suggests that Bitcoin’s move higher has not yet been accompanied by a comparable surge in new spot buying.
According to the analysis, traders covering short positions contributed significantly to the recent price recovery. At the same time, existing Bitcoin holders have been taking profits.
Bitcoin holders realized approximately 23,000 BTC in net profits on Aug. 21, the highest daily amount recorded this year. Since Aug. 19, total realized profits have reached roughly 110,000 BTC, highlighting the scale of profit-taking during the recent advance.
This dynamic creates an important distinction: Bitcoin can rise sharply when short sellers are forced to buy back their positions, but a more durable uptrend generally requires sustained demand from new buyers.
$83K Emerges as the Next Major Test
CryptoQuant identified Bitcoin’s 365-day moving average as an important technical level. The indicator was positioned around $82,300 in its analysis.
Historically, the moving average has acted as a dividing line between stronger and weaker Bitcoin market cycles. Bitcoin briefly reached approximately $81,400 on Aug. 28 before falling back below the level.
CryptoQuant believes a sustained move beyond the region would provide stronger evidence that the market is transitioning into a new bullish phase.
A decisive close above $83,000 could therefore strengthen the case for a renewed bull market. Conversely, failure to break the level could expose Bitcoin to another correction, with the 200-day moving average near $69,000 identified as a potential downside reference.
For now, the combination of record ETF buying since January and Bitcoin’s return above $80,000 provides an encouraging signal. But whether the rally develops into a sustained advance may depend on whether fresh spot demand strengthens enough to overcome profit-taking and short-covering dynamics.
