Crypto ETFs attract $1.1B but Bitcoin and Ethereum prices remain flat

U.S. spot Bitcoin and Ethereum ETFs attracted approximately $1.1 billion in combined net inflows during the first full trading week of August, yet Bitcoin remained below $65,000 and Ethereum struggled to move decisively beyond $1,900, highlighting a disconnect between institutional capital flows and price action.

U.S. spot Bitcoin ETFs recorded approximately $865 million in net inflows between August 3 and August 7, with positive flows across all five trading sessions. BlackRock's IBIT accounted for approximately $693.5 million, representing around 80% of the weekly total. Ethereum ETFs also posted one of their strongest weeks in months, attracting approximately $244 million in net inflows despite beginning the week with a small outflow.

The apparent disconnect reflects the scale of crypto markets relative to ETF inflows. Bitcoin's market capitalization stands at approximately $1.3 trillion, making $865 million in institutional capital relatively modest by comparison. Moreover, ETF demand represents only one part of the market. Selling on centralized exchanges, over-the-counter desks and derivatives platforms can absorb the buying pressure created by ETF inflows, meaning that while ETFs buy, other investors may still be selling.

Bitcoin remained trapped around $64,000 to $65,000, with the inflows potentially supporting the price and preventing a deeper correction without being large enough to overcome supply at resistance levels. Ethereum reacted slightly better, climbing from approximately $1,845 at the week's start to around $1,914, yet it has not broken decisively above the $1,920 resistance area or challenged the psychological $2,000 level.