Bitcoin traded near $68,000 on Tuesday as US spot ETFs raised $458 million, according to data curated by SoSoValue, marking one of the strongest inflow days of the quarter despite the ongoing conflict with Iran.
The inflows suggest that institutional investors are treating bitcoin’s recent volatility stemming from the war as contained and not systemic.
Singapore-based trading firm QCP Capital said in a recent note that the roughly $300 million in long liquidations triggered by the weekend headlines were “notable but contained,” arguing that positioning had already lightened materially in recent weeks.
Options markets told a similar story, QCP wrote, with one-day implied volatility briefly spiked to 93% before quickly retreating, a sign that traders were hedging event risk rather than preparing for a prolonged rally.
Meanwhile, U.S. spot bitcoin ETFs added $1.1 billion in three consecutive sessions last week, according to SoSoValue data previously reported by CoinDesk, with BlackRock’s IBIT accounting for about half.
