TLDR
- BlackRock said over 90% of Bitcoin ETF investors have stayed on a steady accumulation path.
- Hedge funds make up about 10% of investors and account for most short-term Bitcoin ETF trading.
- BlackRock said IBIT drew about $26 billion in 2025 and ranked fourth worldwide by ETF inflows.
- Bitcoin and Ether still lead crypto ETF demand, while BlackRock screens other assets for liquidity and scale.
BlackRock says over 90% of Bitcoin ETF investors are long-term accumulators. The firm said most holders kept buying and stayed invested through price swings. Robert Mitchnick, BlackRock’s digital assets chief, shared that view in a CNBC interview.
He said retail investors, advisers, and institutions have mostly followed a steady accumulation path. His comments focused on how different investor groups have used the funds.
The remarks offer a clear reading of spot Bitcoin ETF flows in 2025. BlackRock said short-term trading comes mainly from hedge funds, which make up about 10% of investors. It also said crypto ETF demand still centers on Bitcoin and Ether.
Other products may follow only when markets meet BlackRock’s tests for liquidity and scale. That stance also frames how BlackRock views future crypto ETF launches.
Steady buying stands out in Bitcoin ETF flows
Mitchnick said retail investors are “some of the most long-term focused” buyers in the market. He said many of them tend to “buy the dip” during price drops. Financial advisers and institutions also showed a steady pattern, according to BlackRock.
The firm said that behavior shaped the flow picture for its iShares Bitcoin Trust. That fund trades under the ticker IBIT. He said that trend has been visible across market pullbacks and rebounds.
Mitchnick said IBIT drew about $26 billion in 2025 and ranked fourth worldwide by ETF inflows. He said that came even as Bitcoin posted negative returns. He also pointed to selling pressure on crypto exchanges and offshore perpetual platforms.
Yet he said ETF investors took a steadier and longer-term view. That contrast set ETF demand apart from activity in other crypto venues. He said the ETF base stayed firm while other parts of the market sold.
Hedge funds account for most short-term trading
BlackRock said the more tactical part of the investor base is much smaller. Mitchnick put hedge funds at roughly 10% of Bitcoin ETF investors. He said they are the group most linked to short-term trading. Their activity can change daily flow data, and it can shape near-term readings. Retail investors and advisers, by contrast, were less tied to quick trades.
Mitchnick said hedge funds use basis trades and other relative value strategies. Those trades often pair long spot ETF positions with short futures contracts. He said many of those trades are market-neutral.
They can still create temporary inflows or outflows in ETF data. Such trades aim to capture price gaps, rather than outright market direction. BlackRock said the larger investor base remained steady during those shifts.
Bitcoin and Ether remain at the center of demand
BlackRock said investor demand for crypto ETFs remains focused on Bitcoin and Ethereum. Mitchnick said the firm is open to more products, but it is selective. He said new funds must meet tests for liquidity, market maturity, scale, and clear use cases.
He said interest exists elsewhere, but current demand remains much smaller. That approach keeps Bitcoin and Ether as the main ETF focus for now.
BlackRock launched its staking-enabled Ether ETF, called ETHB, this week. Farside Investors said the fund drew more than $43 million in net inflows on debut. Earlier Ether ETFs did not pass staking rewards to investors. BlackRock said that limited their appeal for some allocators. Staking adds an income feature to Ether exposure within an ETF wrapper.
Its earlier Ethereum ETF, ETHA, reached $10 billion in assets faster than nearly all peers. BlackRock said that feature could help close the adoption gap with Bitcoin products. Mitchnick called ETHB “a near-silver bullet” for convenient Ether exposure.
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