This positive development comes after a week of continuous outflows, during which the ETFs experienced the loss of nearly $1 billion.

The change in fortune for Bitcoin ETFs is attributed to the influx of 228.97 BTC on Monday, marking the first time since March 15 that the net flow has turned positive. The recent volatility in the Bitcoin market had led to significant outflows, culminating in the loss of almost $1 billion for the ETFs.

Currently trading at $71,014.23, Bitcoin's price has recovered from the previous day's move past the $70,000 mark. With a market capitalization of close to $1.4 trillion, the world's oldest and largest cryptocurrency witnessed approximately $47 billion worth of transactions in the last 24 hours.

Leading the pack on Monday, the Fidelity Wise Origin Bitcoin Fund (FBTC) saw an impressive inflow of $262 million worth of BTC. Following closely, BlackRock's iShares Bitcoin Trust (IBIT) recorded $35 million worth of newly created shares, while Franklin Templeton's Franklin Bitcoin ETF (EZBC) saw $20.5 million in inflows.

Interestingly, traditional Wall Street investment giants have been expanding their assets under management at a faster pace compared to more crypto-specific counterparts like ARK Invest or VanEck. However, the Grayscale Bitcoin Trust (GBTC), which converted into a spot ETF earlier this year, saw over $14 billion withdrawn since the conversion.

Despite the outflows from GBTC, experts and analysts agree that the success of the new ETFs indicates a pent-up demand for Bitcoin among institutional investors. Commenting on this trend, Coinbase Asia-Pacific Managing Director John O'Loghlen emphasized the correlation between the introduction of spot ETFs and the surge in Bitcoin demand, stating that it is crucial to monitor the future trajectory.

Furthermore, public cryptocurrency exchange Coinbase witnessed a boost in its shares due to the gains in Bitcoin. The San Francisco-based company, listed under the COIN ticker on Nasdaq, experienced a 14% increase on Monday, closing at $279.71 per share. Pre-market trading on Tuesday morning has already seen another 2% climb to $285.60.

This close association between COIN’s stock performance and Bitcoin can be attributed to Coinbase acting as the custodian for a significant portion of the 206,000 BTC that backs the Bitcoin ETF shares. Analysts eagerly anticipate the forthcoming Q1 2024 earnings call in May, which will shed light on how this arrangement has impacted Coinbase's financials.

In conclusion, Bitcoin exchange-traded funds have broken their outflow streak, welcoming $15 million in net inflows after a period of significant losses. The strong demand from institutional investors for BTC, as demonstrated by the success of the new ETFs, continues to shape the cryptocurrency market.

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