BlackRock’s spot Bitcoin ETF, iShares Bitcoin Trust (IBIT), has impressively secured the sixth position in total inflows for ETF investments in 2025. Surprisingly, this achievement comes amidst a negative return on the fund’s performance for the year, echoing a strong conviction from investors.

Data released by Eric Balchunas, a Bloomberg ETF analyst, reveals that IBIT has accumulated approximately $25 billion in inflows for the year, even with an annual loss. In contrast, other traditional equity and bond ETFs that ranked higher on the inflow leaderboard showed substantial gains, while the gold-backed ETF, GLD, which surged over 60%, attracted less capital than IBIT.

Balchunas reflected on these figures, describing the outcome as “a really good sign” for the long-term perspective, asserting that these trends indicate more about investor psychology than fleeting price shifts.

“If you can do $25 billion in a bad year, imagine the flow potential in a good year,” he wrote, highlighting behavior trends among long-term investors.

IBIT sees net inflows but negative returns. Source: Eric Balchunas (Translation: IBIT sees net inflows but negative returns.)

Why Heavy ETF Buying Isn’t Boosting Bitcoin Prices?

Despite these developments, questions arise as to why enhanced institutional purchases through ETFs haven’t resulted in a substantial rise in Bitcoin prices.

Balchunas suggested the market might be exhibiting characteristics of a mature asset class, wherein initial holders cash out and implement income strategies—like selling call options—rather than pursuing immediate capital gains. Additionally, he underscored that Bitcoin’s significant rise of over 120% in the prior year may have moderated expectations for ongoing price hikes.

BlackRock Addresses Concerns After Withdrawals

The IBIT Bitcoin ETF faced intense scrutiny in November when it recorded about $2.34 billion in outflows, including two significant withdrawal days. Regardless of these challenges, executives at BlackRock reassured stakeholders.

Speaking at the Blockchain Conference 2025 in São Paulo, Cristiano Castro, the Director of Business Development at BlackRock, remarked that the firm’s Bitcoin ETFs are among its leading revenue sources. He emphasized that ETFs serve to enhance capital allocation and manage cash flows, making such phases of outflows a regular occurrence.