U.S. Bitcoin exchange-traded funds (ETFs) have seen a net inflow of $1.2 billion this month, reversing December's redemptions, according to SoSoValue data. This shift indicates a move away from traditional arbitrage strategies towards long-term bullish bets on Bitcoin's price. Large investors are abandoning the "Cash-and-Carry" arbitrage, which exploits price differences between spot and futures markets, in favor of direct investments in spot ETFs, suggesting confidence in Bitcoin's long-term potential. The narrowing price gap between CME futures and spot ETFs, coupled with rising costs, has diminished the appeal of arbitrage trades. Instead, institutional investors are increasing their exposure to Bitcoin through spot ETFs and CME futures, with open interest in the latter rising by 33% to 55,947 contracts. Analysts note that this trend reflects a strategic shift towards long-term investments, as Bitcoin's volatility has decreased, making it a more stable asset for diversification alongside traditional investments like gold and silver.