Bitcoin surged past $71,000 on Wednesday as spot cryptocurrency exchange-traded funds recorded their strongest inflows in months, with roughly $700 million flowing into bitcoin and ether products in a single day.
ETFs See Renewed Demand
Spot bitcoin ETFs attracted about $517 million on Aug. 19, marking their biggest daily haul in months and signaling a resurgence of institutional appetite for digital assets. Ether-focused funds added another $189 million, bringing combined inflows across the two categories to more than $700 million.
The rush of capital into these regulated investment vehicles reflects growing confidence among larger buyers, who have increasingly used ETFs as their preferred gateway into crypto markets. The scale of the inflows stands out after a stretch of more muted activity.
The strongest daily inflows in months signal that big money is once again betting on crypto's upside.
Rally Punishes Bearish Traders
The broad advance in prices proved costly for traders positioned against the market. According to the data, roughly $2.7 billion in bearish bets were wiped out as the rally forced liquidations across leveraged short positions.
Bitcoin's climb above the $71,000 level helped fuel the cascade, catching sellers off guard and accelerating the upward move. Sharp liquidations of this kind often amplify momentum, as forced buybacks add fresh demand to an already rising market.
Key figures from the session included:
- Roughly $517 million in spot bitcoin ETF inflows
- About $189 million into ether ETFs
- Approximately $2.7 billion in liquidated bearish positions
The combination of heavy ETF demand and a squeeze on short sellers underscored the strength of the move, pointing to a shift in sentiment as investors reposition for further gains.