As money flows back into spot bitcoin exchange-traded funds (ETFs), traditional finance is speeding up its expansion of bitcoin investment.

CoinDesk, a blockchain media outlet, reported on April 29 that 21Shares chief investment officer Adrian Fritz said nearly $2 billion has flowed into spot bitcoin ETFs since the start of the year. He said it was a sign of recovering trust among traditional investors.

The inflows are not limited to retail investors. Institutional investors, arbitrage and hedge funds using options strategies are also entering the market. Fritz also said institutional adoption is accelerating as Morgan Stanley and major asset managers move into the crypto market.

Liquidity concerns long raised over bitcoin investment are also easing. Fritz said bitcoin's daily trading volume has exceeded $50 billion, comparable to mega-cap technology stocks such as Nvidia. He assessed that the ETF structure provides liquidity in both the primary and secondary markets, making bitcoin an "asset ready for institutional investment."

An assessment also emerged that these changes are closer to a structural expansion in demand than short-term speculation. Portfolio managers are starting to see bitcoin as an asset that can be included in multi-asset portfolios despite volatility concerns. Market participants are still weighing correlation, volatility and sensitivity to macroeconomic conditions. Fritz said the spread of ETFs did not happen overnight but progressed gradually as investor education and understanding of bitcoin's role in portfolios accumulated.

The outlook is that the future price path depends on ETF inflows and macro variables. The market is watching the possibility of easing geopolitical tensions and continued ETF inflows as catalysts for bitcoin to break above $80,000. With perpetual futures funding rates in negative territory, the possibility of a short squeeze when prices rise is also being discussed. Fritz said a break above the $85,000 to $90,000 range, where the 200-day moving average sits, could be a stronger signal of a trend reversal.

Macroeconomic variables remain key. Investors are trying to confirm the policy direction through the personal consumption expenditures (PCE) indicator and Federal Reserve decisions.

Oil prices were also cited as an important variable. Fritz warned that if oil rises above $100 a barrel, it could weigh on risk assets, including bitcoin. He said prices could move sideways in the short term, but a move toward $100,000 by year-end is possible if conditions align.

The altcoin market is unlikely to move in the same way as bitcoin. Ethereum is showing signs that ETF inflows are picking up again after weakness in the first quarter, but the way funds are allocated across the market is changing. Fritz said an "altcoin season" in the same form as in the past may not return because investors are increasingly taking a fundamentals-focused approach.

Traditional investors are showing interest in projects that deliver actual profits and cash flow. Fritz mentioned that projects such as Hyperliquid, which have real revenue and cash flow, are drawing attention. He said altcoin ETFs based on projects with weak fundamentals could face pressure to be delisted. As a result, he said the crypto ETF market is expected to place greater importance on verifying the fundamentals of individual projects, alongside an expansion of institution-led funds centered on bitcoin.