Institutions Embrace Crypto as a Core Asset in Mainstream Portfolios

In the week before September 12, 2025, Bitcoin ETFs saw a substantial inflow of $2.3 billion, signaling a surge in institutional participation and renewed

in the digital asset sector. The primary driver behind this increase was ETFs, which attracted daily investments totaling $642.35 million. Fidelity’s FBTC and BlackRock’s IBIT led with net inflows of $315.18 million and $264.71 million, respectively. Altogether, Bitcoin ETFs now manage assets worth $153.18 billion, making up 6.62% of Bitcoin’s total market value.

This upward trend extended beyond Bitcoin, as

ETFs also saw a notable change in sentiment. On September 12, these funds brought in $404.55 million in new capital, breaking a six-day streak of withdrawals and indicating rising institutional trust in Ethereum. The total inflows for Ethereum ETFs have reached $13.36 billion, with their assets now valued at $30.35 billion, which is 5.38% of Ethereum’s market cap. Leading the way were Fidelity’s FETH at $168.23 million and BlackRock’s at $165.56 million in inflows.

These investments in both Bitcoin and Ethereum ETFs have taken place amid favorable macroeconomic factors, particularly growing expectations that the U.S. Federal Reserve will lower interest rates. A Reuters poll found that 105 out of 107 economists expect at least three rate cuts before the end of 2025, a move likely to boost liquidity and enhance the appeal of risk assets such as cryptocurrencies. Experts say these positive macro trends, together with robust technical signals, are strengthening the bullish perspective for leading digital assets. Over the last week, Bitcoin’s price increased by 4.38%, while Ethereum saw gains of 8.34%.

The entry of institutional investors into Bitcoin and Ethereum ETFs represents a crucial shift for the crypto industry. Major players such as Fidelity and

have become significant forces in the space, with their ETFs attracting the bulk of new investments. This shift points to a larger transformation in finance, as pension funds, asset managers, and hedge funds are gradually incorporating digital currencies into their long-term portfolios. Analysts highlight that recent capital inflows show cryptocurrencies are moving beyond speculative trading and are now being integrated into conventional investment strategies.

The recent surge in ETF investments also demonstrates how cryptocurrencies are becoming an established part of institutional portfolios. Bitcoin is increasingly viewed as an inflation hedge and a supplement to traditional safe-haven assets like gold, while Ethereum’s strength lies in its functionality and opportunities for yield through staking and DeFi. Institutions are now allocating portions of their holdings to digital assets not just for diversification, but also to prepare for the next wave of financial innovation. With total inflows into Bitcoin ETFs now surpassing $55 billion since their early 2024 debut, the market appears poised for additional expansion in the months ahead.