Monday saw the U.S. spot Bitcoin ETFs record $479.35 million net inflows, the highest daily inflows in two weeks. Led by inflows of $315.19 million in BlackRock’s iShares Bitcoin Trust (IBIT), this surge has been ongoing for 11 consecutive days.
The market also became highly speculative about other major Bitcoin ETFs like ARKB from Ark and 21Shares, FBTC from Fidelity, and BITB from Bitwise, drawing millions in investor capital.
Ark and 21Shares’ ARKB fund was the biggest gainer, taking in a net $59.78 million, while BlackRock took the largest inflows. FBTC surpassed these funds, followed by Fidelity with $44.12 million.
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Additionally, the BITB by Bitwise and the BTC funds by Grayscale both added $38.67 and $21.59 million, respectively, while seven other Bitcoin ETFs joined this list with no new inflows on Monday.
This inflow activity also matched a big leap in the daily trading volume for the ETFs, which topped $3 billion last Monday, up from $2.9 billion on Friday. The increased investment indicates that these inflows follow a 3.88% rise in Bitcoin’s price over the past 24 hours, with its price hitting $71,254.20, a high not seen since June.
Ethereum ETFs Face Outflows While Bitcoin ETFs Surge
Unlike the Bitcoin ETFs, U.S. spot Ethereum ETFs registered a slight outflow of $1.14 million on Monday after a $19.16 million outflow on Friday.
Grayscale’s ETHE was the main culprit for those outflows, which lost $8.44 million in investor capital, making it the biggest loser of the day. However, Ethereum outflows totaling $2.3 million were partially offset by inflows into Fidelity’s $5.02 million FETH and BlackRock’s $2.28 million ETHA, showing investors are flowing into these newer Ethereum funds.
However, even with outflows, overall trading volume in Ethereum ETFs was steady at a close of $187.49 million on Monday, down from $189.88 million on Friday.
Ethereum ETF demand indicated a mixed bag of investor sentiment as Ethereum traded at $2,620.15, up 3.36% in the past 24 hours. Although the proceeds to the alternative Ethereum ETFs are steady, this indicates a strategic re-distribution of assets within this segment.
Investor sentiment on Bitcoin and Ethereum ETFs is shifting, with Bitcoin now perceived as the more attractive asset given wider market conditions. Although the Ethereum market is in a strong position, investors are reallocating their capital to Bitcoin ETFs, which are also rallying.
Bitcoin Holds Strong Above $71K Amid Investor Optimism
Bitcoin remains above $71,000, and investor optimism is strong, with nearly 99 percent of all Bitcoin holders making a profit as they sit holding. As per data from CryptoQuant, more than 97.6% of Bitcoin holders are making a profit in bullish circumstances.
The greater interest in Bitcoin from institutional investors has been due to the asset’s recent surge, as more and more of these investors begin to look at the cryptocurrency as a valuable hedge against macroeconomic volatility.
Analysts at Bitfinex added that Bitcoin’s strong performance lately and the upcoming U.S. presidential election could also continue boosting demand for risky assets such as Bitcoin.
Bitcoin has positive momentum with a rising institutional inflow, says Bitwise CIO Matt Hougan, expecting the value to go up. Grow whale accumulation and shortage of supply after halving, added to global monetary policy adjustments, could push Bitcoin into six figures.
