U.S. spot Bitcoin ETFs absorbed $1.92 billion in net inflows over the week as Bitcoin surged from below $63,000 to nearly $79,500, providing a substantial source of demand even as the price failed to establish a foothold above $80,000.
The weekly ETF total was the largest since October 2025, according to the flow data cited in the market update. Buying accelerated on Thursday, when the funds recorded $606 million in net inflows. BlackRock’s iShares Bitcoin Trust, IBIT, accounted for $503 million of that day’s total, concentrating most of the demand in the market’s largest spot Bitcoin ETF.
Bitcoin later pulled back toward $76,000 after sellers emerged near $79,500. The reversal left the $80,000 threshold as the immediate level under scrutiny: it has become both a psychological price marker and an area where traders appear to be taking profits after the rapid five-day rally.
Etf buying rebounds after mid-august withdrawals
The inflow streak followed a weaker period in mid-August, when U.S. spot Bitcoin ETFs recorded a combined $385 million of net outflows across several sessions. The return of sizeable allocations suggests that some larger buyers resumed exposure as Bitcoin recovered, rather than chasing the market at its lowest levels.
Wednesday’s ETF intake reached $517.19 million, the strongest one-day result in roughly three and a half months in the dataset cited. Eight of the 12 funds tracked posted positive flows, while IBIT took in $284.7 million.
BlackRock’s fund was again central to the weekly picture. Separate flow-tracking posts said BlackRock clients accumulated more than $500 million worth of Bitcoin in a single day, broadly matching the concentration of demand seen in the ETF flow figures.
The scale of IBIT’s contribution means weekly ETF demand was not evenly distributed across the sector. That concentration can make daily totals more sensitive to allocation decisions at a handful of large products, particularly when the broader market is moving quickly.
Bruno Caratori, co-founder of asset manager Hashdex, said the firm’s assets under management approached $1.7 billion when Bitcoin reached its weekly high. He added that the fund’s Bitcoin-denominated holdings remained at a record level, even as the dollar value of those holdings moved with the market price.
Leverage unwinds sharply during the pullback
The move down from $79,500 to roughly $77,000 triggered a severe liquidation event in crypto derivatives markets. A liquidation tracker recorded about $550 million in leveraged positions being closed within 60 minutes as the decline accelerated.
Total crypto liquidations reached $1.8 billion over 24 hours and affected more than 286,000 traders, according to the same tracker. Such episodes occur when traders using borrowed funds can no longer meet margin requirements, forcing exchanges to close positions into a falling or rising market.
The figures point to a market where spot ETF demand and derivatives positioning were moving in different directions. ETFs represent cash-backed purchases of Bitcoin exposure through regulated funds, while futures and perpetual contracts can amplify short-term price swings because traders commonly use leverage.
Futures open interest — the dollar value of outstanding derivatives contracts — reportedly fell to $32 billion by the fourth week of August 2026, equivalent to about 491,300 Bitcoin. The update described that as the lowest level of active Bitcoin futures demand in more than two years.
A decline in open interest after widespread liquidations can reduce the amount of borrowed exposure that remains in the market. It does not itself establish a price floor, but it can leave Bitcoin less exposed to another immediate cascade of forced selling if prices retest support.
Technical commentary during the sell-off focused on $75,000 as a nearby support area. Bitcoin’s ability to remain above that range would give the market a more orderly base after the abrupt reversal; a sustained break below it would put the recent advance from below $63,000 under greater pressure.
$80,000 becomes the market’s main pressure point
The failed break above $80,000 also drew attention to short positions placed above that level. Market commentary described “tens of billions of dollars” in short exposure that could face liquidation if Bitcoin rises through the area with enough momentum.
Short liquidations can add buying pressure because traders betting on lower prices must purchase Bitcoin or close their contracts when prices move against them. The scale of the cited short positioning remains uncertain, but the concentration of attention around $80,000 helps explain why the level has attracted both profit-taking and speculative positioning.
A prediction-market snapshot cited during the period put the probability of Bitcoin revisiting $80,000 at 80%. Prediction-market odds reflect the pricing of contracts by participants rather than a forecast from economists or fund managers, though they offer a view of prevailing sentiment.
Michael Terpin, founder of advisory firm Transform Group, described a pattern in which larger buyers often return four to six weeks after a market bottom, rather than purchasing at the precise low. He also said traders who bought at higher prices may sell into a rebound to reduce losses, making round-number levels such as $70,000 and $80,000 potential areas of heavier supply.
That behavior would fit the price action near $79,500. Bitcoin climbed rapidly, ETF flows turned sharply positive, and then a cluster of selling and leveraged liquidations stopped the move before $80,000 could become support.
Rates and mining economics remain part of the backdrop
Macro conditions remain relevant to Bitcoin’s next phase, particularly expectations around U.S. interest rates. The CME FedWatch Tool showed a 59% probability that the Federal Reserve would hold rates unchanged at its September 18 meeting, based on the snapshot referenced in the market update.
Goldman Sachs chief economist Jan Hatzius said a decline in July retail spending made a September rate increase unlikely. Rate expectations can affect demand for risk-sensitive assets by shaping borrowing costs, Treasury yields and the appeal of holding cash.
Bitcoin mining economics are also tightening. Network hash rate continued to rise, while the mining hash-price index fell to $32 per petahash during the month, according to the market update. Hash price measures expected miner revenue per unit of computing power; lower readings can squeeze operators whose energy and equipment costs remain high.
Public mining companies have responded by pursuing computing agreements outside Bitcoin mining, including data-center and artificial-intelligence infrastructure deals. Those arrangements may diversify revenue, though they do not directly change Bitcoin’s short-term trading range.
For now, Bitcoin’s market structure is defined by two competing forces: large spot ETF inflows supporting demand and a heavily contested $80,000 level that has exposed how much leverage accumulated during the rally.
Worried about liquidations near $80,000? Learn how to avoid liquidation and protect leveraged Bitcoin trades.
Disclaimer: The content on this page is provided for general informational purposes only and does not represent the views or financial advice of Toobit. We make no guarantees regarding the accuracy or completeness of this information and shall not be held liable for any errors, omissions, or outcomes resulting from its use. Investing in digital assets involves risk; users should independently evaluate their financial situation and the risks involved. For further details, please consult our Terms of Service and Risk Disclosure.
