ARK 21Shares and Fidelity Bitcoin ETFs Break Eight-Day Outflow Streak with $369.7 Million Inflow

U.S. spot Bitcoin exchange-traded funds (ETFs) saw a notable $94.3 million inflow on February 28, marking the first inflow day since February 14 and ending an eight-day streak of outflows. The inflow came as Bitcoin began to recover, climbing back toward $85,000.

Among the top performers were the ARK 21Shares Bitcoin ETF (ARKB) and the Fidelity Wise Origin Bitcoin Fund (FBTC), which led the charge with $193.7 million and $176 million in net inflows, respectively, according to data from Farside Investors. These two funds combined for $369.7 million in net inflows, more than offsetting the $244.6 million outflow from BlackRock's iShares Bitcoin Trust ETF (IBIT).

The Bitwise Bitcoin ETF (BITB) and Grayscale Bitcoin Mini Trust ETF (BTC) also experienced modest inflows of $4.6 million and $5.6 million, respectively, while Bitcoin products from Invesco, Franklin, Valkyrie, and WisdomTree registered no inflows for the day. Meanwhile, the VanEck Bitcoin ETF and Grayscale's Bitcoin Trust ETF (GBTC) saw continued outflows.

A Recovery Amid Continued Challenges

While February 28 marked a brief respite for Bitcoin ETFs, the $94.3 million inflow did little to offset the $3.26 billion in net outflows that occurred between February 18 and 27. The worst day came on February 25, with a record $1.13 billion in outflows from U.S. Bitcoin products, coinciding with a sharp 17.6% drop in Bitcoin’s price over the same period. Bitcoin’s value fell to a near four-month low of $78,940 by February 28, according to CoinGecko data.

However, Bitcoin has since rebounded, rising to $86,165 at the time of writing.

A Rocky Start to 2025 for Bitcoin ETFs

The first few months of 2025 have been challenging for the U.S. Bitcoin ETFs, with the products collectively recording a net outflow of approximately $300 million since January 10—the first anniversary of the Bitcoin ETFs' launch. Despite this rough start, the industry is taking a long-term view, with many experts asserting that the current market conditions may offer a unique buying opportunity.

Industry Optimism Despite Market Challenges

Despite the volatility and setbacks, prominent figures in the crypto industry remain optimistic about Bitcoin’s future. Bitwise Chief Investment Officer Matt Hougan recently argued that now could be the "best time in history" to buy Bitcoin while it is trading in the $80,000 to $90,000 range.

Jake Chervinsky, Chief Legal Officer at Variant, also pointed to the growing interest in Bitcoin from traditional finance (TradFi) and a more favorable regulatory environment as signals that this period could represent "the moment of greatest opportunity for crypto."

As the Bitcoin market continues to face significant challenges and fluctuations, industry experts are looking to the long-term potential of the asset class, noting that despite short-term volatility, the future remains promising for those willing to weather the storm.