Bitcoin ETFs Attract $1 Billion in Three Days as Bitcoin Price Surges

TLDR

• US spot Bitcoin ETFs saw over $1 billion in net inflows in three days
• Fidelity and BlackRock led with combined inflows of about $760 million
• Monday saw the highest inflows since early June at $556 million
• Bitcoin price rallied, crossing $65,000 and approaching $68,000
• Standard Chartered analysts predict Bitcoin may near its all-time high before the US election

The newly launched US spot Bitcoin exchange-traded funds (ETFs) have experienced a significant boost in investor interest, accumulating over $1 billion in net inflows over just three trading days.

This surge in investment comes as Bitcoin’s price rallies, approaching its all-time high.

According to data from Farside Investors, the spot Bitcoin ETFs have seen a remarkable uptick in net purchases. The funds attracted $253 million last Friday, ending a brief three-day period of outflows.

This momentum continued into the new week, with Monday seeing a massive $556 million in net inflows, the highest level recorded since early June.

The trend persisted on Tuesday, with net buying topping $371 million and no redemptions reported. This brings the total inflow for the three-day period to over $1 billion, highlighting the strong market demand for Bitcoin investment products.

Leading the pack in this ETF surge are financial giants Fidelity and BlackRock. These two firms have attracted approximately $760 million in combined inflows during this period.

BlackRock’s IBIT fund has been particularly successful, capturing the largest share of inflows on Tuesday with over $288 million. Fidelity’s FBTC also performed well, taking in around $35 million on the same day.

Other players in the Bitcoin ETF space have also benefited from this influx of investor capital. Funds managed by Bitwise, Ark Invest/21Shares, VanEck, WisdomTree, and Grayscale all experienced gains.

Notably, Grayscale’s GBTC and BTC funds have extended their winning streak to two consecutive days.

This surge in ETF inflows has coincided with a significant rally in Bitcoin’s price. The leading cryptocurrency crossed the $65,000 mark on Monday and continued its upward trajectory, moving closer to $68,000 on Tuesday.

According to data from CoinGecko, Bitcoin is now just 9% away from its all-time high.

The rapid growth of Bitcoin ETFs and the cryptocurrency’s price rally have caught the attention of market analysts. Standard Chartered’s team of analysts has made a bold prediction, suggesting that Bitcoin could approach its previous high of approximately $73,800 ahead of the upcoming US presidential election.

These analysts also noted a potential political factor that could influence Bitcoin’s performance. They suggest that the improving odds for Donald Trump’s re-election could create a favorable environment for Bitcoin.

This assessment is based on the historical perception that Trump’s presidency has been viewed positively by many in the cryptocurrency community.