On Wednesday, the ARK 21Shares spot Bitcoin exchange-traded fund (ETF) saw an unprecedented surge in interest, recording $201.8 million in inflows, marking a significant spike and nearly five times its average daily inflows.
This remarkable influx came as Bitcoin neared the $72,000 mark, showcasing a notable enthusiasm in the cryptocurrency market.
According to preliminary figures from Farside Investors, this day’s inflow was four times the ETF’s average daily inflow of $43.9 million since its inception on January 11.
It also represented a substantial increase from the $73.6 million inflow observed the previous day, highlighting a growing investor interest in Bitcoin despite the absence of inflows on March 25.
In comparison, other Bitcoin ETFs experienced considerably lower inflows.
The Valkyrie Bitcoin ETF, Invesco Galaxy Bitcoin ETF, Franklin Bitcoin ETF, and VanEck Bitcoin ETF reported inflows ranging from $1.9 million to $5.1 million, all in single digits, with BlackRock’s data pending at the time.
This surge in interest in the ARK 21Shares Bitcoin ETF coincided with Bitcoin reaching a high of $71,670, although it later dipped below the $69,000 support level, closing at $69,698.
Currently, Bitcoin’s price hovers around $69,464.
READ MORE: Bitcoin Surges Past $71,000, Signaling Bullish Momentum and Potential for Record Highs
The investment community’s focus has largely been on Bitcoin’s short-term price movements. However, crypto analysts suggest a broader perspective is necessary.
Crypto researcher Gumshoe emphasized the significance of the overall influx of funds into Bitcoin, criticizing the narrow focus on daily price fluctuations.
“Bitcoin ETFs seeing ATH inflows and people are panicking over the daily close of a candle,” he highlighted.
Matt Hougan, Bitwise’s chief investment officer, pointed out the regulatory challenges hindering professional investors from accessing Bitcoin ETFs, especially in the UK, due to the Financial Conduct Authority’s cautious stance on cryptocurrency.
He predicted a gradual change over the next two years as due diligence processes evolve.
Echoing a positive outlook, Bitcoin Munger suggested that the next $13 billion in inflows could significantly boost Bitcoin’s price.
This optimism is backed by a Cointelegraph report noting that $13.2 billion has been invested in products like spot Bitcoin ETFs since the start of the year, indicating a robust interest in cryptocurrency investment vehicles.
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