Original author: Vince Dioquino
Original title: BlackRock's Bitcoin ETF Clinches Record $4 Billion Trading Volume Amid Trump Win
Original source: Decrypt
Compiled by: Koala, Mars Finance
Although IBIT outperformed its competitors on the day, total trading volume for all funds in the category still reached $6 billion.
BlackRock’s iShares Bitcoin Trust (IBIT) hit a record daily trading volume of $4.1 billion late Wednesday as the price of the world’s largest cryptocurrency hit a new all-time high.
Bitcoin surged early in the presidential campaign, hitting an all-time high above $75,000 shortly after Donald Trump’s victory. U.S.-based spot bitcoin exchange-traded funds stand to benefit.
IBIT recorded $1 billion in trading volume in just 20 minutes of trading, according to Bloomberg senior analyst Eric Balchunas. The early surge matched IBIT’s typical full-day volume, setting the stage for its strongest trading session since its Jan. 11 listing.
“For context, this is more volume than stocks like Berkshire, Netflix, or Visa are trading today,” Balchunas wrote in a note to X .
The unprecedented activity signals growing investor confidence in institutional crypto products, as Trump heads toward reelection with pledges of regulatory reform and unwavering support for the industry.
While IBIT outperformed its competitors on the day, total trading volume for all funds in the category still reached $6 billion. U.S. spot bitcoin ETFs traded about twice their average daily volume, according to CoinGlass, indicating high enthusiasm in the market after the election results were announced.
On Wednesday, the 12 funds reported significant net inflows, with $621.9 million flowing into these products. The largest inflow was to Fidelity's FBTC, with $308.7 million, while ETFs from Ark and 21Shares, Bitwise and Grayscale's Mini Trusts all recorded positive inflows of more than $100 million. Grayscale's GBTC and VanEck's HODL also recorded inflows.
Last week, IBIT recorded $2.1 billion in net inflows, the fund’s second-largest weekly inflow to date. Wednesday’s inflows brought the total cumulative net inflows for the 12 bitcoin funds to $24.1 billion.
Nate Geraci, president of the ETF Store, predicted that total daily net inflows into spot Bitcoin ETFs could exceed $1 billion later this week. “Let’s see how inflows play out over the rest of the week, records will still be broken,” Geraci wrote on X.
Meanwhile, data from SoSoValue showed that spot Ethereum ETFs saw a net inflow of $52.2 million yesterday, with both Grayscale Mini Trust and Fidelity FETH seeing positive inflows.
Trump’s campaign promises, including a proposal to create a national Bitcoin reserve, support for crypto miners, and a promise to form a favorable regulatory advisory committee, have only added to the market’s confidence.
His victory also stoked optimism about possible changes in leadership at the Securities and Exchange Commission and more supportive policies for the industry.
Some, including Matt Hougan, chief investment officer at Bitwise, one of 11 firms that introduced a spot bitcoin ETF to the U.S. market earlier this year, see Trump’s victory as the catalyst for a “golden age” for cryptocurrency.
IBIT holds approximately 429,185 BTC worth $30 billion and has become the most well-known of the 11 companies currently listed in the United States.
Its competitive first-year fee of 0.12% on assets under $5 billion has attracted plenty of investor interest since its launch in January.
