The funds absorbed $875.6 million on Oct. 7 alone despite Bitcoin experiencing a 2.4% correction and briefly losing the $121,000 level before the market rebounded.
The continued demand from ETF channels provided a floor under the price and reinforced institutional appetite for exposure through regulated instruments.
Additionally, gold’s surge above $4,000 per ounce amplified the hard asset narrative that often lifts Bitcoin alongside bullion.
The move validated the “debasement trade” thesis, which posits that investors rotate capital into scarce assets when concerns about government debt and currency credibility arise. As a result, the gold movement helped Bitcoin leg up.
Fresh Federal Reserve minutes released on Oct. 8 signaled that additional rate cuts in 2025 remain on the table, keeping real rate pressure light and supporting risk appetite.
The softer tone on the documents eased concerns about tighter financial conditions and gave equities and crypto room to advance.
Lower real yields reduce the opportunity cost of holding non-yielding assets, such as Bitcoin, making the trade more attractive relative to cash and short-duration bonds.
The combination of ETF flows, macro tailwinds, and gold’s record performance created favorable conditions for Bitcoin to recover from its recent correction.
