US spot Bitcoin exchange-traded funds (ETFs) are rapidly becoming one of the largest sources of daily trading activity, handling billions in volume and signaling stronger institutional adoption of cryptocurrency.
Bitcoin ETFs Rival Major Exchanges
According to blockchain analytics firm CryptoQuant, US-based spot Bitcoin ETFs are now responsible for a significant portion of spot market activity. Julio Moreno, head of research at CryptoQuant, noted that Bitcoin ETF trading volumes often range between $5 billion and $10 billion on active days.
These levels occasionally surpass the trading volumes of most global crypto exchanges, reflecting growing institutional demand for regulated investment products tied to Bitcoin.
Binance Still Leads Global Spot Trading
Despite the surge in ETF activity, Binance continues to dominate as the world’s largest crypto exchange. Bitcoin daily volumes on peak days have reached $18 billion, while Ethereum (ETH) has seen up to $11 billion in trading.
Data from CoinGlass shows that the combined daily volume of the 11 US spot Bitcoin ETFs currently stands at $2.77 billion. This figure accounts for roughly 67% of Binance’s Bitcoin spot trading volume, which averages around $4.1 billion. Binance’s total daily trading across all pairs remains significantly higher at about $22 billion.
“US spot Bitcoin ETFs have emerged as a dominant force in crypto markets and demonstrate their pivotal role in price discovery and institutional adoption,” said Nick Ruck, director at LVRG Research.
Ethereum ETFs See Slower Uptake
While Bitcoin ETFs are gaining traction, Ethereum ETFs are lagging in comparison. Moreno highlighted that ETH spot trading is still largely concentrated on Binance, followed by Crypto.com. ETFs for Ethereum account for only 4% of trading activity, underscoring slower institutional adoption compared to Bitcoin.
Bitcoin ETF Inflows Slow as Ethereum Gains Momentum
ETF flows this week show a shift in investor sentiment. Over the past four trading days, US Bitcoin ETFs recorded inflows of $571.6 million, with BlackRock’s iShares Bitcoin Trust (IBIT) capturing nearly 40% of that, or $223.3 million.
During the same period, Bitcoin’s price slipped 2.5% to around $111,600, cooling overall momentum. In contrast, spot Ethereum ETFs attracted $1.24 billion in inflows—more than double the amount that Bitcoin ETFs received.
Notably, Ethereum funds have not seen a single day of net outflows since August 20. They have accumulated over $4 billion in inflows this month alone, accounting for 30% of all ETF inflows since their launch 13 months ago.
ETFs Reshape Market Liquidity
“Current flow dynamics show ETFs are not just supplementing but actively reshaping spot market liquidity,” said Ruck. “Their trading activity is increasingly correlated with Bitcoin’s price movements. These products now represent a significant percentage of Bitcoin’s total supply, cementing ETFs as a fundamental gateway for traditional capital.”
