Spot Bitcoin ETFs have recorded more than $2.8 billion in inflows over the past eight trading sessions, while gold ETFs have taken in $3.3 billion. BlackRock’s iShares Bitcoin Trust (IBIT) continues to lead demand in the Bitcoin ETF market, posting $200.76 million in inflows on August 26.

Bitcoin and gold funds have together attracted significant institutional capital as gold prices rise 12% over the past month. The parallel demand for the yellow metal and digital gold highlights both assets’ ongoing presence on investors’ radar, a pairing that has grown more visible since U.S. spot Bitcoin ETFs launched in January 2024 and gave institutions a regulated, exchange-traded way to hold Bitcoin alongside long-established gold funds such as SPDR’s GLD. IBIT remains the largest contributor to Bitcoin ETF inflows and the largest spot Bitcoin fund by assets.

Gold and Bitcoin ETFs Record $7 Billion in Weekly Inflows

Bloomberg senior ETF strategist Eric Balchunas said gold and Bitcoin ETFs drew a combined $7 billion in inflows over the past week, a record over five days. He said investor interest in the debasement trade — a rotation into scarce, hard assets such as gold and Bitcoin as a hedge against the erosion of fiat currency value — has taken attention away from artificial intelligence.

Gold ETF GLD and BlackRock’s IBIT were among the strongest performers and both ranked among the top 10 funds for weekly inflows. Balchunas also noted that IBIT’s year-to-date flows have now turned positive, marking a recovery after outflows in May.

According to data from Farside Investors, U.S. spot Bitcoin ETFs recorded $232.12 million in net inflows on August 26. BlackRock’s IBIT led the group with $200.76 million in inflows. The fund added 2,559 BTC, worth $200.76 million, and recorded trading volume of $1.9 billion.

Fidelity’s FBTC posted $25.59 million in inflows, followed by Bitwise’s BITB with $5.96 million and Morgan Stanley’s MSBT with $3.37 million.

Grayscale’s GBTC recorded $50.39 million in outflows, while its Bitcoin Mini ETF attracted $46.83 million in inflows. The remaining spot Bitcoin ETFs saw no net flows. Whether the rotation into hard-asset funds extends beyond the record five-day stretch will show up in the weekly flow data that Bloomberg and Farside Investors track.

BlackRock Lowers Bitcoin ETF Conversion Threshold to $1 Million

Wall Street is making it easier for large Bitcoin holders to convert their BTC into ETF shares, as major firms such as BlackRock expand access to a service once largely reserved for wealthy investors.

BlackRock has lowered the minimum amount of Bitcoin required to convert BTC into shares of its spot Bitcoin ETF, IBIT, from $25 million to $1 million. Bloomberg reported that the change makes it easier for large holders to move from self-custody into regulated investment products amid growing concerns about crypto security.

BlackRock has already processed about $5 billion in tax-deferred Bitcoin-to-ETF conversions, a structure in which coins are transferred into the fund rather than sold on the open market. The firm expects that volume to increase as access expands.

Robbie Mitchnick, BlackRock’s head of digital assets, said events such as kidnappings and custody failures could encourage investors to shift their Bitcoin holdings into ETFs.

“It's going to keep growing because we keep expanding access. People see things happen in the outside world that motivate them to make this switch for all or some of their holdings,” Mitchnick said.

Bitcoin Price Levels to Watch

Crypto analyst Michael van de Poppe said Bitcoin’s broader market structure remains intact despite the current correction. He identified the $76,400 to $77,100 area as a possible support zone. According to van de Poppe, a break below that range could lead to a deeper correction.

He added that Bitcoin is likely to continue building a wider trading range. In his view, that consolidation could create room for altcoins to resume an upward move.

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