$3B Flows Into BlackRock’s Bitcoin and Ether ETFs Amid Price Drop

A Slow Start for Crypto in 2025

Crypto markets had a rough beginning to 2025. Prices barely moved. Investors lost interest. It wasn’t a surprise to see BlackRock report a major drop in net inflows to its Bitcoin (BTC) and Ethererum (ETH) ETFs during the first quarter.

BlackRock’s earnings report showed that investors added just $3 billion to its digital asset ETFs in the first three months of the year. This was a big fall—an 83% drop—compared to the previous quarter. Back then, prices were rising fast. Sentiment was stronger. That surge followed Trump’s election win, which had pushed crypto optimism higher.

Even though the number dropped, the $3 billion inflow is still a big number on its own. It shows that there is still strong demand for crypto-related products. Investors are still looking for ways to gain exposure to bitcoin and ether, even with the weak price performance.

This inflow made up 2.8% of all money flowing into BlackRock’s iShares ETFs during the quarter. iShares also includes funds in other areas like active investing, core equities, and strategic plays. Crypto is still a small part of the picture. But it is not being ignored.

Source: X

Digital Assets Still a Small Slice of the Pie

At the end of the first quarter, BlackRock had $50.3 billion in digital assets under management. That may sound like a lot, but it is only 0.5% of the company’s total assets, which sit at more than $10 trillion.

Digital asset ETFs brought in $34 million in base fees. That was less than 1% of BlackRock’s total long-term revenue. So even though crypto gets a lot of attention, it’s still a small piece of the business.

The drop in bitcoin and ether inflows wasn’t the only slowdown. BlackRock’s iShares division saw a big fall in overall inflows too. The total money coming in was $84 billion. That’s down from $281 billion in the previous quarter.

This wasn’t just about crypto. Global markets had a tough time. Investors were adjusting to the new environment under President Trump. Changes in interest rates and policy made people more cautious. That mood was reflected in the lower numbers across all ETF categories.

Even with weak prices and slower demand, crypto is still holding on. Investors are not pulling out completely. Some are still putting money into bitcoin and ether products. BlackRock’s numbers show this clearly.

Crypto may be struggling in price. But it’s not dead. ETFs tied to digital assets are still attracting billions. That says something about where investor interest lies.

Looking ahead, much depends on how markets respond to ongoing changes. Interest rates, regulation, and the economy will play a big role. If prices start moving again, inflows could follow.

For now, crypto is quiet. But it hasn’t gone away. BlackRock’s digital asset ETFs are still seeing money flow in, just not as much as before. That could change fast—crypto has always moved in cycles.