U.S.-listed spot Bitcoin exchange-traded funds (ETFs) recorded their first month of net inflows since October 2025, with March seeing $1.32 billion in new capital, according to data from SoSoValue. This positive development ended a four-month streak of outflows that coincided with Bitcoin's price decline from its October all-time high of $126,000.
Despite the March rebound, the first quarter of 2026 ended in negative territory for Bitcoin ETFs. The $1.32 billion March inflow was insufficient to offset heavy redemptions earlier in the quarter. January saw $1.61 billion in outflows, followed by $207 million in February, resulting in a net quarterly outflow of approximately $500 million. This marks the second consecutive quarter of net outflows, following a 23% drop in Bitcoin's price in Q4 2025 and a further 22% decline in Q1 2026.
ETF holdings have shown resilience. According to CheckonChain, total Bitcoin held by these funds declined from a peak of 1.38 million BTC in October to a low of 1.28 million BTC (a 7% drop), before recovering to around 1.31 million BTC. However, the average ETF investor remains underwater, with an estimated cost basis near $84,000 compared to a current spot price of about $68,000.
Market sentiment remained fragile, with the Crypto Fear & Greed Index staying under 20—indicating "Extreme Fear"—for most of March. Trading activity also slowed, with spot Bitcoin ETF volumes falling to $79 billion in March, down from $93 billion in February and $87 billion in January. By quarter's end, cumulative inflows into the segment reached close to $56 billion, with total assets under management near $87.5 billion.
Altcoin ETFs showed mixed results. Spot Ether (ETH) ETFs recorded the largest quarterly losses, with outflows of approximately $769 million over Q1, including $46 million in March alone. XRP ETFs saw March outflows of $31 million, though earlier inflows kept the quarterly figure positive at $43 million. In contrast, Solana (SOL) ETFs attracted a combined $213 million over the quarter and have yet to post a month of net outflows since their October 2025 launch.
