Bitcoin ETF Rebound Led By Morgan Stanley

Institutional capital is beginning to shift direction in the American crypto market. While Bitcoin regains inflows thanks to Morgan Stanley, ETFs linked to XRP and Solana now attract a growing share of flows. Driven by expectations around the Clarity Act, this movement contrasts with the persistent weakness of Ethereum ETFs and reveals a gradual repositioning of investors on assets most exposed to the future American regulatory framework.

Morgan Stanley revives Bitcoin ETFs despite pressure on Ethereum

American spot Bitcoin ETFs recorded $27.29 million in net inflows on May 11th, ending two consecutive sessions of capital outflows. The main contributor to this recovery remains Morgan Stanley’s MSBT fund, which alone concentrates $26.30 million in incoming flows.

Conversely, several heavyweights in the sector ended the session in red. BlackRock IBIT shows $7.43 million in net outflows while Fidelity FBTC sheds $3.57 million. The daily volume of Bitcoin ETFs reached $1.97 billion, with estimated total net assets of $109.08 billion.

Here are some key figures :

• $27.29 million in net inflows on spot Bitcoin ETFs ;
• $26.30 million injected into Morgan Stanley’s MSBT fund ;
• $7.43 million outflows for BlackRock IBIT ;
• $3.57 million withdrawals on Fidelity FBTC ;
• $16.89 million in net outflows on Ethereum ETFs ;
• $1.97 billion daily volume on BTC ETFs.

The contrast between Bitcoin and Ethereum now fuels commentary from analysts specializing in institutional flows. Thus, investors are becoming more selective. Bitcoin remains stable, Ether struggles to regain momentum, while capital begins to redirect towards assets supported by new regulatory dynamics and emerging infrastructures.

This dynamic reflects a more defensive approach around Bitcoin, perceived as the most mature asset in the market, while Ethereum still struggles to find a strong enough catalyst to reverse the trend observed on American ETFs.

XRP and Solana already benefit from expectations around the Clarity Act

The session also confirmed growing investor interest in ETFs linked to altcoins. Products backed by XRP recorded $25.80 million in net inflows, driven by anticipation around the American Clarity Act. Franklin’s XRPZ fund dominates flows with $13.62 million, ahead of products offered by Bitwise and Grayscale. This progress comes as several market players now consider XRP as one of the assets likely to benefit from a clarified regulatory framework in the United States.

Also, Solana ETFs attracted $26.57 million, with a strong contribution from Bitwise’s BSOL fund. This dynamic shows that investors no longer limit themselves to spot Bitcoin ETFs alone. Part of the capital now seems to seek exposure to blockchains considered strategic for future tokenized financial infrastructures. The flows observed on XRP and Solana thus reflect a different logic than Bitcoin’s. Here, the market bets less on a store of value and more on ecosystems capable of benefiting from American regulatory changes.

This redistribution of flows could gradually alter the balance of the crypto ETF market in the United States. Bitcoin retains its status as the dominant institutional asset, but the movements observed on XRP and Solana show that the next battle will also be fought on regulatory and technological grounds. If the Clarity Act were to strengthen the legal visibility of cryptos, some altcoins could benefit from institutional acceleration much faster than expected.

Luc Jose A.

Diplômé de Sciences Po Toulouse et titulaire d’une certification consultant blockchain délivrée par Alyra, j’ai rejoint l’aventure Cointribune en 2019.
Convaincu du potentiel de la blockchain pour transformer de nombreux secteurs de l’économie, j’ai pris l’engagement de sensibiliser et d’informer le grand public sur cet écosystème en constante évolution. Mon objectif est de permettre à chacun de mieux comprendre la blockchain et de saisir les opportunités qu’elle offre. Je m’efforce chaque jour de fournir une analyse objective de l’actualité, de décrypter les tendances du marché, de relayer les dernières innovations technologiques et de mettre en perspective les enjeux économiques et sociétaux de cette révolution en marche.

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The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.