In a historic development, US-based spot Bitcoin ETFs have achieved an unprecedented milestone, recording over $1 billion in inflows on two consecutive days. This marks the first instance of such significant inflow since the launch of these ETFs in January 2024, coinciding with Bitcoin reaching new all-time highs.
On Friday, a total of $1.03 billion flowed into the spot Bitcoin ETFs, following a remarkable inflow of $1.17 billion the day before. This notable surge is attributed to heightened enthusiasm among investors as Bitcoin’s price climbed to a staggering $118,780 on the same day, up by 8.85% over the last week.
The robust inflow into Bitcoin ETFs signals a growing institutional interest in cryptocurrencies. According to experts, this week alone saw a total of $2.72 billion directed towards Bitcoin ETFs, underscoring an incredibly strong trading week. Notably, these inflows have significantly exceeded Bitcoin’s daily mined supply, with spot Bitcoin ETFs purchasing approximately 10,000 BTC on Thursday, far surpassing the 450 BTC produced.
Noteworthy is the achievement of BlackRock’s spot Bitcoin ETF (IBIT), which has become the fastest ETF to reach $80 billion in assets under management (AUM), doing so in just 374 days. This rapid growth has allowed BlackRock’s Bitcoin ETF to overshadow even its flagship S&P 500 fund in terms of annual revenue generation. According to ETF analysts, the total assets for all spot Bitcoin ETFs have surpassed $140 billion for the first time.
Despite these record highs, experts caution that this magnitude of demand is not sustainable at current price levels. With such dramatic influxes and Bitcoin’s soaring value, the cryptocurrency market is undoubtedly at a pivotal point. Investors and analysts alike will be closely monitoring these trends as they unfold.
