Nearly $996.4 million flowed into U.S. bitcoin spot exchange-traded funds last week, marking the biggest weekly net inflow since mid-January.

SoSoValue data cited by blockchain media outlet The Block Crypto showed bitcoin spot ETFs posted a third straight week of net inflows. Cumulative inflows over the past three weeks topped $1.8 billion. Last week’s inflow was the largest since the week ended Jan. 16. The money was concentrated in BlackRock’s IBIT.

IBIT, the largest bitcoin fund by net assets, drew $906 million last week alone. Morgan Stanley’s MSBT, launched on April 8, also recorded net inflows of $71 million in its first full trading week.

Ethereum spot ETFs showed the same trend. Net inflows last week were tallied at $275.8 million, also the biggest weekly inflow since Jan. 16. This confirmed that institutional money is also flowing into ethereum-linked products after bitcoin.

Some in the market also say changes in the Middle East situation are stimulating institutional demand. BTSE crypto exchange chief operating officer Jeff Mei (제프 메이) said institutional investors are increasing long positions in bitcoin spot ETFs, placing weight on the possibility of easing tensions between the United States and Iran. He added that institutional investors see an easing of tensions between the two countries as imminent and are increasing their bitcoin spot ETF exposure accordingly.

Geopolitical uncertainty still remains. A two-week ceasefire agreement between the United States and Iran is due to expire on Wednesday, and efforts to mediate peace between the two sides are continuing. At the same time, there have also been reports that the United States recently seized an Iranian-flagged cargo ship in the Strait of Hormuz. U.S. President Donald Trump said a U.S. negotiating team is heading to Islamabad for potential talks with Iran, but Iran said it would not join peace talks unless the United States lifts the blockade of Hormuz.

Mei assessed that retail investor demand is improving for now. He said that additional U.S. Federal Reserve rate cuts are needed for the upward trend to continue. He added that interest rates had been the biggest factor affecting crypto inflows even before the U.S.-Iran clash, and that this factor would weigh on investor sentiment in the medium to long term.

The market’s next focus is whether institutional inflows through ETFs will be a short-lived rebound or lead to trend buying. The fact that money flowed into ethereum spot ETFs as well as bitcoin suggests institutional demand is spreading into some altcoin areas. Uncertainty around the rate path and Middle East variables still remain, and future price moves are likely to hinge on the persistence of institutional flows and changes in the macro environment.