Bitcoin’s impressive 12-day inflow streak has halted amid surging prices. On Monday, spot Bitcoin exchange-traded funds (ETFs) posted $131.35 million in outflows, their first setback since July 1.
Meanwhile, Ethereum ETFs have extended their winning streak to 12 consecutive days, pulling in $296.6 million in net inflows and fueling speculations about a potential altcoin season.
According to data from SoSoValue, the largest BTC ETF outflow on July 21 occurred with Ark & 21Shares’ ARKB, which lost $77.46 million. Funds managed by Grayscale, Fidelity, Bitwise, and VanEck also reported significant outflows on the same day. Moreover, the largest BTC ETF by net assets, BlackRock’s IBIT, saw zero flows, along with six other BTC ETF products.
This notable pause in bitcoin ETF inflows comes after the funds attracted $6.12 billion in just under two weeks. Bitcoin’s price also showed weakness, falling 1.27% in the last 24 hours to trade at $117,680 at the time of writing.
Surging Ethereum ETF inflows suggest altcoin season is on the horizon
While BTC ETFs cooled off, Ethereum ETFs have maintained strong momentum. Notably, Fidelity’s FETH led Monday’s action with $126.93 million in inflows, followed by BlackRock’s ETHA with $102 million. Other funds like Grayscale’s Mini Ethereum Trust and Bitwise’s ETHW also contributed to the $296.6 million total net inflows.
Accordingly, ETH ETFs have now seen $3.53 billion in cumulative inflows over the past 12 days, marking a historic performance since their July 24 launch. Interestingly, ETH ETF inflows have outpaced bitcoin’s on several occasions.
Analysts suggest that this pattern could be the beginning of a rotation from BTC into altcoins. “Bitcoin has rallied significantly this year, and for investors who feel they’ve ‘missed’ the BTC trade or are looking for the next opportunity, Ethereum is becoming the natural next step,” said Presto research analyst Min Jung, according to a report.
She continued: “Over the past week, Bitcoin dominance has dropped by 5%, suggesting early signs of capital rotating down the risk curve. Historically, alt seasons begin with rising ETH prices and declining BTC dominance while Bitcoin remains rangebound.”
Aligning with CryptoQuant CEO’s stance on the anticipated altcoin season, Jung noted this cycle could diverge from past ones, as institutional capital now plays a central role in driving crypto rallies. “There’s uncertainty as to whether this momentum will extend beyond large-cap altcoins to the broader market,” she said.
Recall that ETH surpassed $3,800 on Monday before retracing by over 3% to $3,685 at the time of writing. Whether this is the beginning of an altcoin season remains to be seen; however, the early signs of a full-blown crypto bull market are hard to ignore.
