Investors give up ETFs, pushing Bitcoin exchanges to soar

In the last quarter, Bitcoin exchange trading volume surged to more than $500 billion, far exceeding the $50 billion net inflow of Bitcoin ETFs, indicating that the market's preference for direct trading far exceeds regulated investment products. Reasons include lower fees, flexibility in leveraged positions and the increasing use of decentralized exchanges, especially in emerging markets with limited ETF channels. This difference suggests that Bitcoin prices are increasingly driven by on-chain activity rather than ETF funding flows, which could lead to increased volatility and raise questions about market maturity and regulatory oversight.