Bitcoin ETFs Flip Green for October as Sovereign Wealth Funds Step In, Hedge Funds Exit

Bitcoin exchange-traded funds (ETFs) have flipped green for October after attracting more than $400 million in inflows this week, reversing earlier losses and setting the stage for a potentially strong November. The rebound comes as a notable shift occurs in the investor base: hedge funds have been reducing their exposure to BTC ETFs, while sovereign wealth funds are stepping in to fill the void. This rotation suggests growing institutional confidence from long-term, state-backed investors, even as short-term speculative capital retreats. The inflows mark a turning point for the funds, which had struggled earlier in the month amid broader market uncertainty. With sovereign wealth funds now participating, Bitcoin ETFs may see more stable, strategic allocations rather than rapid trading flows. As the month closes, all eyes turn to November, historically a strong period for Bitcoin, and whether this new investor mix can sustain momentum.