U.S. spot Bitcoin and Ethereum exchange-traded funds (ETFs) flipped to positive net territory during the week ending July 10, 2026, putting an end to eight consecutive weeks of outflows. Data from SoSoValue indicates that Bitcoin funds secured $197.40 million in new capital, while Ethereum-focused products drew $84.42 million.
The twin reversal follows a punishing period for institutional digital asset products that saw billions drained since mid-May. Bitcoin funds had struggled with redemptions every week after May 15, while Ethereum funds faced a similar trajectory, highlighted by the week ending June 26, when $273.34 million exited those specific products.
Bitcoin and Ethereum ETFs recover from eight weeks of redemptions
This shift comes as a stabilization signal for the market. By July 10, total net assets for spot Bitcoin ETFs climbed to $77.42 billion, while Ethereum assets recovered to $9.59 billion. The transition back to green territory was notably signaled on July 2, when Bitcoin spot ETFs drew $221.72 million in a single session, ending a 10-day streak of constant redemptions.
The recovery gained further momentum on July 6, when global Bitcoin spot ETFs recorded daily net inflows of $265.7 million. On that same day, Ethereum ETFs added $20.7 million. These inflows coincided with a brief price recovery, where Bitcoin reclaimed the $64,000 level during afternoon trading, though daily flows remained volatile throughout the remainder of the week.
BlackRock and Grayscale show contrasting momentum
Fund-specific performance highlights a widening gap between major issuers. On July 6, BlackRock’s iShares Bitcoin Trust (IBIT) spearheaded the recovery with $209.40 million in inflows. Other funds, including the Grayscale Bitcoin Mini Trust, Ark & 21Shares’ ARKB, and Morgan Stanley’s MSBT, also reported positive figures, adding $42.25 million, $32.98 million, and $10.96 million respectively.
Grayscale’s primary vehicle, the Grayscale Bitcoin Trust (GBTC), remained a persistent drag on the sector’s performance. On July 6, the fund lost $44.45 million, continuing a trend that has seen significant capital migrate toward newer, lower-fee products. In the Ethereum space, BlackRock’s ETHA fund has been the primary driver of growth, accounting for all $26.9 million of the net inflows recorded for the category on July 7.
Federal Reserve commentary and geopolitical tensions drive volatility
The recent turn in ETF flows occurred against a backdrop of complex macroeconomic and geopolitical factors. A crypto market liquidation analysis shows that Bitcoin’s price initially found support after Federal Reserve Chair Kevin Warsh suggested that inflation risks had decreased. This sentiment, further bolstered by a weak jobs report, helped revitalize interest in risk-on assets.
However, the recovery remains fragile due to renewed hostilities between the U.S. and Iran. Following U.S. strikes on Iran, Bitcoin ETFs recorded losses of $84.86 million on July 8 and $95.30 million on July 9. Geopolitical instability was further complicated when President Donald Trump declared that a previous ceasefire between the two nations was over, leading to a surge in oil prices and renewed downward pressure on digital asset flows.
Assessing the long-term impact on digital asset valuations
Despite the positive turn in early July, the broader 2026 performance figures for these products highlight the depth of the earlier retreat. As of early 2026, Bitcoin ETFs have faced a net year-to-date outflow of approximately $5.34 billion. Ethereum products sit at a $1.35 billion deficit for the same period.
The market is currently navigating a period of price discovery, particularly for Ethereum recovery outlook as investors weigh institutional demand against macro shocks. While the flows ending July 10 were positive, the ongoing tension in the Middle East remains a key variable for the days ahead. Whether the current positive streak holds will likely depend on whether institutional support can withstand further global instability.