Institutional investors have shown renewed interest in Bitcoin ETFs after seven consecutive days of outflows. On April 2, US-listed spot Bitcoin ETFs experienced net inflows of $1.47 million for the first time, indicating a shift in sentiment and a revival of institutional appetite for Bitcoin exposure through regulated funds.

During the preceding week, Bitcoin investment funds faced $713.30 million in net outflows amidst challenges in the cryptocurrency market due to escalating trade war rhetoric by Donald Trump. However, the trend appears to be reversing.

On Monday, US-listed spot BTC ETFs saw net inflows of $1.47 million, breaking a nearly two-week drought and possibly signaling a gradual change in institutional sentiment. Notably, BlackRock's IBIT received the highest daily net inflow of $36.72 million, increasing its total cumulative net inflows to $39.60 billion.

Conversely, Fidelity's FBTC registered the largest net outflow on Monday, losing $35.25 million in a single day. In the derivatives market, BTC futures open interest increased by 2% over 24 hours to $56 billion, indicating heightened activity. However, the funding rate for BTC has turned negative, with traders paying more for short positions, suggesting a bearish sentiment despite modest inflows into spot ETFs.

While the futures market shows signs of potential pullback, the options market remains cautious, with more put contracts than calls indicating hedging and anticipation of downside risks. Despite these mixed indicators, the influx of funds into BTC ETFs after a period of stagnation is considered positive amidst a growing bullish sentiment in the broader market. It remains to be seen if this trend will continue throughout the week.