On-chain data shows that major ETF issuers are buying Bitcoin.

According to new data from Arkham Intelligence, three major Bitcoin ETF issuers are purchasing a massive amount of BTC today. These ETFs had a net inflow of $220 million yesterday, and the issuers may be anticipating an increase in demand.

Although Bitcoin has been highly volatile in recent days, institutional investors may place more trust in the leading cryptocurrency than in the TradFi market.

Why are ETF issuers buying Bitcoin?

The crypto market has witnessed significant liquidations yesterday and concerns about a global recession are spreading. Since President Trump imposed much higher tariffs than expected, crypto has also declined similarly to the TradFi stock market.

However, the spot Bitcoin ETF market in the U.S. shows that demand from institutions may recover in the short term.

"Donald Trump just imposed tariffs on the entire world. So what? Grayscale, Fidelity, Ark Invest are buying Bitcoin," Arkham Intelligence noted on social media.

Arkham Intelligence, a renowned blockchain analytics platform, is not the only entity noticing this trend in Bitcoin ETFs. Although the price of Bitcoin has been very volatile over the past two days, it has still managed to revert to a certain baseline level.

According to data from Coinglass, the Long/Short ratio of this asset was 0.94 last week and has shifted to 1 today. This signals a shift towards a more balanced investment position.

Previously, with 48.5% long positions compared to 51.5% short positions, the market leaned slightly toward a bearish trend. Today, the evenly split ratio of 50.5% long positions indicates that investors are neutralizing their views, minimizing the bearish bias.

Bitcoin Bitcoin Long/Short Ratio | Source: CoinglassThis balanced position signals a stable market sentiment, which may lead to price volatility in the short term. Bitcoin investors may be waiting for clearer signals from the market before committing to a more definitive trend.

Additionally, Bitcoin ETFs perform well in another important area. According to data from SoSo Value, the entire asset portfolio has had a net inflow of 220 million dollars as of yesterday.

Although President Trump made the announcement about Liberation Day after the stock market closed yesterday, it is still a very impressive growth.

Currently, it is still unclear exactly how today's market fluctuations will impact Bitcoin ETFs as an asset class. However, data from Arkham shows that these issuers are making notable investments in BTC.

Thus, companies are expecting demand to increase in the near future. There are still many unanswered questions about tariffs, the crypto market, and the global economy in general.

If the inflow of funds into ETFs continues this week, institutional investors are betting that BTC will maintain more stability and sustainability compared to TradFi markets amid recession concerns.

Disclaimer*: This article is for informational purposes only and is not investment advice. Investors should conduct thorough research before making decisions. We are not responsible for your investment decisions*

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Dinh Dinh

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