Woofun AI reports that US-listed spot Bitcoin exchange-traded funds reversed a prolonged period of capital flight, recording a net inflow of $197.4 million for the week ended Friday. This positive flow snapped an eight-week streak of weekly outflows that had persisted since May, driven primarily by the BlackRock iShares Bitcoin Trust ETF. The broader recovery was partially offset by continued withdrawals from the Grayscale Bitcoin Trust ETF, the Fidelity Wise Origin Bitcoin Fund, and the ARK 21 Shares Bitcoin ETF.

The magnitude of this weekly recovery remains modest when contextualized against recent historical data.

Woofun AI data shows that the $197.4 million inflow pales in comparison to the $8.26 billion investors withdrew since May 11. While the BlackRock iShares Bitcoin Trust ETF alone attracted $291.9 million, the aggregate picture suggests that the two months of sustained selling pressure have not yet been fully reversed by institutional demand.

Market participants remain divided on whether this signals a structural shift or a temporary pause. Markus Thielen, founder and CEO of 10x Research, noted that headwinds persist despite Bitcoin’s 9%+ jump, citing pronounced ETF outflows and seasonal trends in August and September. He noted a pattern where Bitcoin performs better in the first half of the month before consolidating, suggesting it is too early to declare a recovery.

Conversely, some analysts view the easing selling pressure as a sign of bear market exhaustion. Real Vision chief crypto analyst Jamie Coutts stated that technical signs indicate Bitcoin may be entering the latter stages of the bear market, approaching at least the second half of the cycle.

However, Hilbert Capital chief investment officer Russell Thompson warned that Bitcoin remains in a downcycle, predicting a potential low around October this year.

Similar dynamics were observed in the Ether market, where US-listed spot Ether ETFs also broke their eight-week losing streak. Led by BlackRock and Fidelity’s Ether funds, these products recorded $84.42 million in net inflows for the week ended Friday. This figure remains small relative to the $1.2 billion in net outflows recorded since May 11, indicating that capital preservation continues to outweigh aggressive accumulation across major crypto asset classes.