Inflows into US-listed Bitcoin ETFs on Wednesday far surpassed outflows, amounting to over $315 million compared to the previous day's $96 million in outflows.

This increase in demand indicates a positive shift in investor sentiment despite a slight drop in BTC's price yesterday.

None of the twelve spot BTC-backed ETFs reported any outflows on Wednesday. Inflows into these funds totaled $319.56 million, making it one of the best single-day performances in recent weeks, as per SosoValue.

Renewed interest from both retail and institutional investors seems to be driving this sentiment change, possibly due to an opportunity to buy during a dip and growing confidence in BTC's long-term prospects, notwithstanding short-term price fluctuations.

BlackRock's ETF IBIT saw the highest net inflow yesterday, reaching $232.89 million, with a total historical net inflow of $45.01 billion. Fidelity's FBTC followed with a daily net inflow of $36.13 million, bringing its total historical net inflows to $11.65 billion.

Although BTC experienced a minor 1% price setback, trading at $102,413, data suggests that the bullish sentiment persists amidst the drop in spot prices. The positive funding rate indicates traders' willingness to pay a premium for maintaining long positions in perpetual futures, standing at 0.0025% at the time of writing.

The positive funding rate signifies a bullish sentiment and high demand for long positions in BTC. Options activity also leans towards a favorable outlook, with a greater demand for calls over puts, indicating traders anticipate potential upside in the near future.

To summarize, the notable inflows imply that institutional investors may be seizing the opportunity to invest during the price drop, banking on a potential long-term recovery in BTC value.