Bitcoin ETF inflows show institutions 'doubled down' on BTC at $116K

Key Points

1. Institutional inflows into US spot Bitcoin ETFs remain high even after a $7,000 price drop, with significant daily additions of BTC.

2. Unlike earlier in 2025 and last year, current price corrections have not led to significant ETF outflows, indicating stronger investor confidence.

3. US Bitcoin ETFs are acquiring Bitcoin faster than the protocol can produce, creating a supply deficit of 343,000 BTC worth about $40 billion.

4. Analyst Timothy Peterson forecasts BTC could rise to $130,000–$135,000 in six months, assuming steady demand and no major supply increases.

5. The behavior of institutional investors contrasts with past trends, where price drops led to immediate outflows, highlighting a shift in market sentiment.