U.S. spot Bitcoin and Ether exchange-traded funds (ETFs) have demonstrated a notable resurgence, registering renewed investor inflows following a period of sustained withdrawals amid recent market volatility. The reversal coincides with Federal Reserve Chair Jerome Powell’s congressional testimony indicating potential interest rate reductions in the coming months, a development that has reinvigorated institutional confidence in digital asset markets.
Market analysts observe that Powell’s dovish stance before House and Senate committees has catalyzed renewed institutional participation in cryptocurrency investment vehicles. The shift marks a significant departure from the previous week’s trend, where digital asset ETFs experienced substantial capital outflows during broader market corrections.
Industry specialists highlight that the Federal Reserve’s evolving monetary policy outlook appears to be driving renewed institutional allocation toward cryptocurrency exposure. The changing sentiment reflects growing recognition of digital assets as viable portfolio components amid shifting macroeconomic conditions.
Trading data reveals that both Bitcoin and Ether investment products have attracted substantial capital commitments since Powell’s testimony, signaling restored market confidence. The recovery underscores the continued maturation of cryptocurrency markets and their increasing sensitivity to traditional financial indicators and central bank policy signals.
