US-based spot Bitcoin and Ether exchange-traded funds (ETFs) kicked off 2026 with a powerful surge of investor interest, pulling in a combined $646 million on the first trading day of the year. The strong inflows come despite cautious sentiment across the broader cryptocurrency market and signal renewed confidence from institutional investors.
Bitcoin and Ether ETFs Record Biggest Inflows in Weeks
On the first trading day of 2026, US spot Bitcoin ETFs attracted $471.3 million in net inflows, marking their largest single-day gain in 35 trading days. This was the strongest inflow since Nov. 11, when Bitcoin ETFs collectively recorded $524 million in one day.
Spot Ether ETFs also saw a notable boost, adding $174.5 million in net inflows. This was their largest daily inflow in 15 trading days and the strongest showing since Dec. 9, when Ether ETFs brought in $177.7 million.
Combined, the two ETF categories recorded $645.8 million in inflows, according to Farside data. Market participants often view ETF flows as a key indicator of institutional sentiment, making the strong start to 2026 especially notable after a volatile end to last year.
Despite the inflows, Bitcoin and Ether prices have remained relatively muted. Over the past 30 days, Bitcoin has declined 1.56%, while Ether is down 1.39%. Bitcoin was trading up around 1% over the past 24 hours at the time of reporting, showing modest short-term recovery.
Institutional Interest Grows Despite Market Fear
The strong ETF inflows come against a backdrop of cautious market sentiment. The Crypto Fear & Greed Index has remained in “Fear” or “Extreme Fear” territory since early November, returning to “Extreme Fear” with a score of 25 over the weekend.
Market weakness in recent months has been driven by heightened volatility and a sharp unwind of leveraged positions in October, which triggered the largest single-day liquidation event in crypto market history. This led many traders to adopt a more defensive stance toward digital assets.
However, some industry executives believe institutional investors are quietly increasing their exposure. Tonso’s chief marketing officer, known as “Wal,” said in a post on X that spot Bitcoin ETFs “are back,” suggesting many institutions sold Bitcoin in late 2025 for tax-loss harvesting and are now re-entering the market.
Looking at the bigger picture, US investors poured more than $31.77 billion into crypto ETFs throughout 2025. Bitcoin ETFs accounted for the majority, with $21.4 billion in net inflows, although that figure was lower than the $35.2 billion recorded in 2024.
