BlackRock's Bitcoin ETF (IBIT) has decided to overlook the volatility of the cryptocurrency market, recording a massive inflow of $358 million on Monday. Despite the BTC price dropping to the $94,000 level, IBIT still maintained dominant inflows yesterday. After facing resistance at the $100,000 level, Bitcoin fell more than 5%, dragging altcoins lower and causing leveraged positions to be liquidated.
BlackRock's Bitcoin ETF continues to dominate
According to data from Farside Investors, BlackRock's iShares Bitcoin Trust ETF (IBIT) continues to see astonishing inflows, having absorbed over 4,000 bitcoins worth $398 million as of Monday, December 9. Yesterday, IBIT's daily trading volume also soared to $3 billion, indicating strong demand for this investment product among institutional investors.
In just the past seven trading days, BlackRock's Bitcoin ETF has witnessed strong inflows, with an amount exceeding $3.1 billion. Therefore, since its inception, IBIT's total net inflows have surpassed $34.7 billion.
BlackRock's Bitcoin ETF IBIT has achieved a historic milestone, with assets under management (AUM) surpassing $50 billion for the first time. Notably, it reached this threshold in just 228 days, more than five times faster than any other ETF in history. In comparison, the gold ETF GLD took about 5.5 years to achieve the same feat.
The total holdings of Bitcoin ETFs have now surpassed the holdings of Bitcoin's creator, Satoshi Nakamoto, with these ETFs' total holdings now exceeding 1.1 million BTC, surpassing Nakamoto's holdings.
This achievement coincides with the surge in Bitcoin prices. Over the past month, Bitcoin prices have risen by 32%, reaching a historic high of $104,000. During the same period, the broader cryptocurrency market value increased by over $1.4 trillion.
Bitcoin price fell after being rejected at the $100,000 target
After facing rejection multiple times at the $100,000 level, the BTC price fell below $95,000 earlier today. This triggered a strong pullback across the altcoin market, with XRP, DOGE, and other currencies retreating nearly 15%.
According to reports from Coingape yesterday, long-term Bitcoin holders have sold off more than 827,000 BTC in the past 30 days. This figure far exceeds the total purchases of spot Bitcoin ETFs and MicroStrategy.
While institutional demand for BTC still exists, it requires additional catalysts to sustain a rise above $100,000. A few days later, the Federal Reserve may announce another 25 basis point rate cut. However, it all depends on the upcoming U.S. CPI data and inflation figures to be released this week.
