‘Crypto Winter Is Over,’ Fundstrat Says: Why Bitcoin, Ether and Solana ETFs Matter Now

Bitcoin’s latest breakout is getting an important confirmation from the ETF market, with investors pouring fresh money into spot crypto products as analysts argue that the prolonged "crypto winter" may be ending. U.S. spot Bitcoin ETFs attracted $998.9 million in net inflows on Monday, according to SoSoValue flow data, as Bitcoin surged above $86,000 to its highest level since January. The rally extended into Tuesday, with Bitcoin briefly reaching $87,360. Fundstrat Head of Digital Assets Sean Farrell told Yahoo Finance that the Bitcoin breakout is credible and that he believes "crypto winter is over." Meanwhile, Compass Point analyst Ed Engel described crypto as being in the early stages of a new bull market, according to Yahoo Finance. See More: Top Momentum Stocks IBIT, FBTC and ARKB Lead the ETF Comeback The latest inflows were concentrated among the largest spot Bitcoin ETFs. BlackRock’s iShares Bitcoin Trust (NASDAQ:IBIT), Fidelity Wise Origin Bitcoin Fund (BATS:FBTC) and ARK 21Shares Bitcoin ETF (BATS:ARKB) were among the biggest beneficiaries of the renewed demand. IBIT is particularly significant, with about $68 billion in net assets as of Tuesday, making it by far the largest spot Bitcoin ETF. FBTC had about $13.9 billion, while Grayscale Bitcoin Trust ETF (NYSE:GBTC) had $11 billion. The reversal is notable because Bitcoin ETFs had just endured a sharp bout of selling. The funds suffered roughly $450 million of outflows on Sep. 15, their worst session since June, before flows turned positive later in the week. On Sep. 18 alone, spot Bitcoin ETFs attracted $433 million, led by FBTC and IBIT. Ether ETFs Add Another Bullish Signal The recovery is also spreading across crypto ETFs. U.S. spot Ether ETFs recorded about $143.8 million of inflows on Sep. 18, with BlackRock’s iShares Ethereum Trust (NASDAQ:ETHA) leading the group. ETHA is now among the largest spot crypto ETFs, with about $9.2 billion in assets as of Sep. 18. Grayscale’s Bitcoin Mini Trust (NYSE:BTC), meanwhile, has about $5.1 billion. Other products worth watching include Fidelity Ethereum Fund (BATS:FETH) , as flows into these products can indicate whether institutional crypto demand is broadening beyond Bitcoin. ETF Demand Meets a Short Squeeze The latest rally is not purely an ETF story. Nansen senior research analyst Nicolai Søndergaard attributed the move to renewed ETF demand and a large short squeeze, according to Yahoo Finance. Nearly $919 million of crypto short positions were reportedly liquidated during the latest surge, per Coinglass data cited by Investor’s Business Daily. That distinction could be crucial for the ETF thesis. Sustained creations in IBIT, FBTC and ARKB would provide evidence of continuing investor demand after the short-covering wave fades. For now, the ETF flows are moving in the same direction as the analysts’ "crypto winter is over" thesis. The key question is whether the near-$1 billion Bitcoin ETF inflow marks the start of a sustained trend or simply a powerful rebound amplified by short covering. Read Also: Bitcoin ETFs Add $999 Million In Best Day Since October 2025: What's Going On? Photo: Shutterstock