US spot Bitcoin ETFs have regained momentum this week, attracting fresh capital after a turbulent stretch that nearly derailed October’s performance. According to reporting by CoinTelegraph, the Bitcoin ETF inflows mark a significant shift in investor sentiment heading into the final days of the month.
Spot Bitcoin ETFs pulled in $137 million on Wednesday alone, extending a three-day winning streak that has now delivered roughly $424 million in cumulative inflows. This reversal has lifted October’s net flows to $111 million positive — a precarious turnaround given that the month had recorded nearly $774 million in outflows just last week.
The timing of the Bitcoin ETF rebound coincides with the Federal Reserve’s decision to hold its benchmark rate unchanged at 3.75% to 4%. That steady-hand approach initially signaled stability, though Fed Chair Kevin Warsh reminded markets that inflation remains stubbornly above the central bank’s 2% target.
Market Sentiment Hinges on Fed Forward Guidance
The divergence between the Fed’s rate hold and persistent price pressure in Bitcoin reflects a broader uncertainty. Bitget analyst Lewis Huang observed that without clearer directional signals from policymakers, Bitcoin’s near-term trajectory depends more on Treasury yields, dollar strength, and overall risk appetite in equity markets.
At the time of writing, Bitcoin traded at $79,848 — down roughly 1% over 24 hours. That modest pullback masks the week’s underlying strength in the Bitcoin ETF space, where institutional flows suggest confidence despite short-term volatility.
The Crypto Fear & Greed Index held steady at 51, indicating neutral market conditions. That reading alone suggests investors remain cautious rather than euphoric, typical of periods when macro catalysts are still crystallizing.
Ether ETFs Paint a Different Picture
The divergence between Bitcoin and Ethereum performance became even starker Wednesday. Ether ETFs continued their redemption trend, recording $21 million in outflows and pushing October’s cumulative net flows to negative $1.35 billion.
Ether traded at $2,310, down 1.7% in 24-hour trading. The persistent outflow pressure on Ethereum products, set against Bitcoin ETF strength, suggests institutional capital may be rotating toward the larger, more established asset class as rate clarity remains elusive.
With two trading sessions remaining in October, Bitcoin ETF momentum could prove decisive for how investors position heading into November. The Fed’s inflation concerns have not disappeared — they’ve simply been deferred, leaving markets to price in risk across multiple dimensions.