Institutional and retail investors are increasingly showing confidence in Spot Bitcoin Exchange-Traded Funds (ETFs), as these products have seen a significant surge in inflows, signaling strong long-term interest in Bitcoin.
Significant Inflows into Spot Bitcoin ETFs
According to data from Farside Investors, a London-based investment management firm, shared by Michael Van De Poppe, a crypto expert and CIO of MN Consultancy, Spot Bitcoin ETFs experienced a substantial increase in inflows over the past day. On Monday, Van De Poppe highlighted that these ETFs saw $202 million in net positive inflows, a sharp rise compared to the previous Monday’s $62.1 million. This suggests growing adoption of these products among investors.
The net inflows recorded yesterday account for nearly 50% of the total inflows observed over the entire previous week, which amounted to about $500 million. Van De Poppe noted that if this trend continues, it could signal significant strength in Bitcoin’s market, potentially driving the cryptocurrency’s value higher. He is optimistic that Bitcoin might reach a new all-time high before the end of September, considering the influence of these inflows and renewed investor interest.
The surge in inflows is largely driven by BlackRock’s iShares Bitcoin Trust (IBIT), which alone attracted over $224 million in daily inflows. This marks the highest daily inflow for the fund in the last 35 days, following a $526 million inflow on July 22. Other funds like Franklin BTC ETF (EZBC) and WisdomTree BTC Fund (BTCW) also saw positive inflows of $5.5 million and $5.1 million, respectively.
Read more: Vitalik Buterin Reveals 2023 Ethereum Foundation Spending
However, Bitwise BTC ETF (BITB), Fidelity Wise Origin Bitcoin Fund (FBTC) and VanEck BTC ETF (HODL) experienced outflows of $16.6 million, $8.3 million and $7.2 million, respectively. Meanwhile, Grayscale’s BTC ETF (GBTC), Invesco Galaxy Bitcoin ETF (BTCO) and Coinshares Valkyrie Bitcoin Fund ETF (BRRR) reported zero inflows.
BTC’s Recent Price Performance
The increased capital inflow into Spot Bitcoin ETFs comes in the wake of a recent price decline, with BTC dropping from around $65,000 to $62,720. This suggests that investors are taking advantage of the price dip to increase their exposure to Bitcoin. With these products attracting significant inflows, there is speculation that BTC may soon begin to rise again. BTC’s trading volume has increased by over 44% in the last day, with its price currently at $62,818.
Cre: bitcoinist.
I’m Jessi Lee, currently living in Singapore. I am currently working as a trader for AZCoin company, with 5 years of experience in the cryptocurrency market, I hope to bring you useful information and knowledge about virtual currency investment.
Email: [email protected]
