Bitcoin Posts Modest Weekly Gain as ETF Outflows Persist

Bitcoin Recovers Slightly After Prior Week’s Selloff

Bitcoin rose 0.9% to $63,337.8 by 02:02 ET (06:02 GMT) on Friday. The cryptocurrency was up about 4% for the week, partially rebounding from a roughly 17% decline the previous week. Despite the move higher, Bitcoin continued to trade close to its annual lows, constrained by sustained institutional selling in spot exchange-traded funds.

Crypto markets underperformed a wider rally in risk assets. Wall Street and Asian markets moved sharply higher after U.S. President Donald Trump said the United States had reached a peace deal with Iran that could be signed as soon as this weekend. Trump stated that the deal would end the war with Iran and enable the immediate reopening of the Strait of Hormuz.

Iranian officials offered a more cautious assessment. Local media reports citing the foreign ministry indicated that some progress toward a deal had been made, but several points of contention remained and Tehran had not yet decided whether to agree to an accord. Military tensions also persisted, with Iran seen launching drone strikes on ships in the Strait of Hormuz early Friday.

Markets nevertheless rallied on Trump’s comments, while oil prices fell, easing some concerns about energy-driven inflation and high interest rates linked to the conflict.

ETF Outflows and Rotation Toward AI and SpaceX

Spot Bitcoin ETFs were on track for a fourth consecutive week of outflows, according to SoSoValue data on Friday. Outflows totaled $401.7 million as of Thursday, compared with $1.72 billion in outflows the prior week, indicating some moderation in the pace of redemptions.

Institutional investors were described as largely exiting spot Bitcoin ETFs in favor of what were viewed as more fundamentally grounded opportunities, particularly artificial intelligence shares. Positioning for a “bumper” initial public offering from SpaceX, which raised $75 billion on Thursday, was also cited as a factor diverting both retail and institutional flows away from cryptocurrencies.

Broader crypto prices showed only limited movement on Friday, with modest gains attributed to bargain hunting. Ether slipped 0.1% to $1,653.22, while XRP gained 1.4% to $1.1296. Solana, Cardano, and BNB rose between 0.1% and 2.4%. Among memecoins, Dogecoin added 0.6%, and $TRUMP rose 2.3%.

FAQ

How did Bitcoin perform this week?
Bitcoin traded at $63,337.8 on Friday, up 0.9% on the day and about 4% higher for the week, following a roughly 17% decline the previous week.

What is happening with spot Bitcoin ETFs?
Spot Bitcoin ETFs were headed for a fourth straight week of outflows, totaling $401.7 million as of Thursday, down from $1.72 billion in outflows the prior week.

How did geopolitical developments affect crypto markets?
Comments by U.S. President Donald Trump about a potential peace deal with Iran contributed to a broader rally in risk assets and a decline in oil prices, but crypto markets lagged this move and remained restrained.

How did other major cryptocurrencies trade?
Ether fell 0.1% to $1,653.22, XRP rose 1.4% to $1.1296, and Solana, Cardano, and BNB gained between 0.1% and 2.4%, while Dogecoin rose 0.6% and $TRUMP advanced 2.3%.