Demand for spot Bitcoin exchange-traded funds (ETFs) remains subdued, even as the US government edges closer to ending its 41-day shutdown. The US Senate approved a funding package Monday, moving the process to the House of Representatives for a possible vote this week.
Despite positive developments in Washington and rebounds in traditional markets like the S&P 500 and gold, spot Bitcoin ETF inflows showed minimal activity, signaling challenges for Bitcoin’s price momentum going forward.
US Government Shutdown Nears Resolution
On Monday, the US Senate passed a funding bill aimed at ending the government shutdown that has lasted 41 days. The legislation now awaits a full vote in the House of Representatives, potentially as soon as Wednesday, according to CBS News.
Senate Majority Leader John Thune expressed optimism that the vote would conclude quickly, stating during the Senate session that the process should take “hours, not days,” as reported by the Military Times.
Spot Bitcoin ETF Inflows Remain Flat
Despite the positive political news, spot Bitcoin ETFs attracted only $1.2 million in inflows on Monday, based on data from Farside Investors. This level of demand is notably weak given the broader risk asset rebound.
Charles Edwards, founder of Capriole Investments, highlighted the lack of investor interest in Bitcoin ETFs, noting on social media that “Bitcoin ETFs saw NO bid yesterday” despite the improving macro environment.
Edwards added that this trend is concerning and emphasized the need for renewed investor demand to reverse the current stagnation.
Bitcoin ETF Inflows Key to 2025 Momentum
Geoff Kendrick, Standard Chartered’s global head of digital assets research, recently told Cointelegraph that spot Bitcoin ETF inflows have been the main driver of Bitcoin’s upward momentum in 2025.
Among major ETF issuers, BlackRock’s Bitcoin fund stands out with $28.1 billion in year-to-date inflows. In contrast, other issuers have experienced cumulative outflows totaling $1.27 million, according to Cointelegraph’s report on October 28.
Market Analysts See Mid-Cycle Consolidation, Not Bear Market
Some investors worry that the current lull signals the end of Bitcoin’s bull market. However, analysts at Bitfinex view the recent price correction as a typical mid-cycle consolidation rather than the start of a prolonged downturn.
Bitfinex analysts noted the current drawdown closely mirrors previous corrections in June 2024 and February 2025, both of which served as inflection points between recovery and deeper contraction phases.
They explained that each correction since the 2023 bull market began has averaged a 22% decline from peak prices before rebounding.
Importantly, around 72% of Bitcoin’s supply remained profitable when the price dipped to $100,000, a signal consistent with mid-cycle consolidation. However, the analysts cautioned that a broader recovery depends on renewed demand from both institutional and retail investors.
