Bitcoin ETF inflows surge as price pulls back

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The week in 60 seconds

• Bitcoin gave back its move above US$81,000 (A$112,590) after a strong US jobs report revived Fed rate hike bets, settling in the high US$79,000s (A$109,810+).
• US spot Bitcoin ETFs still pulled in close to US$1 billion (A$1.39 billion). The three-week total reached ~US$3.8 billion (A$5.28 billion), the strongest stretch of 2026 despite Bitcoin’s price pullback.
• Solana was the standout performer, up ~25% on the week, while gold slipped and Wall Street closed roughly flat.
• A New York lawsuit seeking to claim thousands of “abandoned” Bitcoin addresses ran into a fresh wave of decade-old wallets moving on their own.
• The week ahead brings US PPI and CPI, a modest options expiry, and focus building on the Fed’s September rate decision.

Intro

This week's story is about two markets moving in opposite directions. Bitcoin's spot price cooled after a hot jobs report, but the institutional money buying it through ETFs didn't slow. Below, we cover where the numbers landed, what a New York lawsuit over abandoned Bitcoin tells us, and what's on the calendar before the Fed's rate decision.

Significant events 

A hot jobs report, a record ETF inflow streak, and a lawsuit over "abandoned" Bitcoin were the week's three real stories.

US jobs report reignites Fed hike bets

Friday's jobs report showed US employers adding roughly 162,000 jobs in August, more than triple the 50,000-pace expected, while unemployment held at 4.1%. That strength gives the Fed more room to hike, and futures markets quickly repriced odds for September. Bitcoin had been trading above US$81,000 (A$112,590) on strong ETF demand; it gave back most of that move within hours. Bitcoin's sensitivity to rate expectations hasn't gone away just because ETF flows have grown.

Bitcoin ETF inflows hit a 2026 high even as price fell

US spot Bitcoin ETFs took in close to US$1 billion (A$1.39 billion) over the week, capping a three-week run of roughly US$3.8 billion (A$5.28 billion), the best stretch of 2026. Thursday alone brought in US$731 million (A$1.02 billion), the largest single day since January, led by BlackRock's IBIT. Buying continued even as spot price fell below US$80,000 (A$111,200) on rate hike fears. That divergence is historically a cleaner read on institutional appetite than short-term price action.

New York lawsuit targets "abandoned" Bitcoin, right as old wallets wake up

A class action filed in New York under the state's lost property law seeks control of roughly 39,069 Bitcoin addresses that have sat untouched for years, an estimated US$293 billion (A$407.27 billion) combined, arguing they should be treated as abandoned property. Several of the named addresses have moved in just the past two weeks, including one dormant since November 2011 that shifted 40 BTC worth roughly US$3 million (A$4.17 million). Each wallet that moves undercuts the lawsuit's premise that these coins have no living owner.

By the Numbers

The Week in Data

US$3.8bn (A$5.28bn): Three-week net inflow into US spot Bitcoin ETFs, the strongest stretch of 2026 even as spot price pulled back.
Source: Fund flow reporting

162,000: US jobs added in August, well above expectations and the data point that revived Fed hike bets.
Source: US Bureau of Labor Statistics

39,069: Dormant Bitcoin addresses named in a New York lawsuit as abandoned property, holding an estimated US$293bn (A$407.27bn) in BTC.
Source: New York court filing

Market snapshot

Sentiment stayed firmly in "Greed" even as Bitcoin's price cooled.

The Fear & Greed Index sits at 71 (Greed). Bitcoin is trading around US$80,342 (A$111,747), while Ether is around US$2,514 (A$3,497) and XRP is holding near US$1.42 (A$1.98). Total crypto market capitalisation sits around US$2.7 trillion (A$3.75 trillion).

Despite Bitcoin giving back its move above US$81,000 (A$112,590), sentiment remains firmly positive. The relatively steady reading suggests the pullback has yet to materially dent broader market confidence, particularly as ETF inflows remain strong.

The Scorecard

Oil led the week, while Bitcoin gained and equities were relatively flat.

Sources: TradingView, Yahoo Finance, CoinGecko, Glassnode via CoinDesk

The Signal

ETF buying remained strong despite Bitcoin losing ground, creating a growing disconnect between fund flows and spot price.

Spot Bitcoin ETF net flows

Three consecutive weeks of net inflows have brought roughly US$3.8 billion (A$5.28 billion) into US spot Bitcoin ETFs. Over the same period, Bitcoin has struggled to hold its gains, retreating from above US$81,000 (A$112,590) into the high US$79,000s. The contrast points to sustained ETF demand beneath softer short-term price action.

Why it matters this week: ETF flows and Bitcoin’s spot price are sending different signals. Persistent buying through US-listed funds suggests institutional appetite remains intact, even as rate expectations put renewed pressure on Bitcoin.

Source: CoinGlass ETF flow data

Economic calendar

TL;DR: US inflation data takes centre stage this week, with RBA commentary and a Bitcoin options expiry also in focus ahead of the Fed’s September rate decision.

8 September: RBA officials speak

RBA officials Sarah Hunter and Andrew Hauser speak, offering an early read on the central bank’s rate thinking as markets look ahead to its next policy moves.

10 September: US Producer Price Index (PPI)

The first major US inflation release of the week provides a read on wholesale price pressures ahead of CPI.

11 September: US Consumer Price Index (CPI)

The week’s key economic release, with the potential to move Fed rate expectations ahead of the 16 September decision.

11 September: Bitcoin options expiry

Roughly US$840 million in Bitcoin options expire on Deribit. The expiry is smaller than the roughly US$12 billion event due later this month, but its timing alongside CPI could add to short-term market volatility.

From the Desk

This week's most important signal is the gap between Bitcoin's price and ETF buying.

Institutional demand has held firm even as Bitcoin gave back part of its rally, suggesting longer-term allocators and short-term traders are responding to different signals. A resilient labour market and oil above US$90 (A$125) keep inflation risks in focus, while gold's modest pullback suggests markets aren't fully in defensive mode. PPI, CPI and the Fed decision on 16 September will test how durable that institutional demand is.

Question of the Week

“If Bitcoin ETFs are still seeing strong inflows, why did the price fall this week?”

ETF flows and Bitcoin’s price don’t always move together in the short term. ETF inflows can reflect longer-term allocation decisions, while spot price reacts quickly to macro news, such as this week’s stronger-than-expected jobs report and the resulting shift in rate expectations. Institutional buyers may continue building exposure even as short-term traders respond to changing market conditions. Over longer periods, those signals tend to converge, but they can tell very different stories from one week to the next.

Story of the week

A wallet that bought 40 Bitcoin for about US$120 (A$167) in 2011 finally woke up this week, worth more than US$3 million (A$4.17 million), and it sits at the centre of a lawsuit arguing coins like it, have no living owner.

Somewhere in 2011, someone spent roughly US$120 (A$167) buying 40 Bitcoin, back when a coin cost about US$3 (A$4.17), then did nothing with it for almost fifteen years. On 3 September 2026, that wallet finally moved, sending its entire balance, worth roughly US$3 million (A$4.17 million) today, in a single transaction. It's one of four old wallets that stirred in the same week, together worth close to US$16 million (A$22.24 million), part of a broader pattern of decade-old Bitcoin waking up in 2026. Researchers had already flagged the address as one of the 39,069 named in the New York lawsuit over abandoned Bitcoin. The owner, whoever they are, picked a very pointed moment to prove they still exist.

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