$2.1 Billion Flowed Into Spot BTC ETFs Last Week, 4-Month High!
BTC (Bitcoin) has been witnessing a series of "sublime" days in the past week. After bottoming at $59,000 on October 10, BTC recorded a spectacular recovery of nearly $68,000 today (October 18).
As of the time of writing, BTC is currently trading around $67,900 - up nearly 1% over the past 24 hours. A positive sign for many investors is that BTC has gradually "released Dom" to make room for Altcoins to grow, notably a series of Meme coins "occupying" the top gainers on the Binance floor such as 1MBABAYDOGE (up 16%), BOME (up 16%), DOGE (up 10%), ...
A major factor contributing to BTC’s impressive performance over the past 7 days has been the resurgence of inflows into US-based Spot BTC ETFs.
Over the past five trading sessions, Spot BTC ETFs have seen positive inflows of over $2.1 billion. Inflows have consistently been above $200 million per session, with October 14 seeing an inflow of $555.9 million - the highest since early June.
After a period of "stagnating", the IBIT fund of the giant BlackRock exploded again this week - bringing in capital inflows of up to 1.07 billion USD in just the last 4 sessions.
Interestingly, in the last four sessions, no BTC ETF has recorded negative inflows - a very rare occurrence. This shows that the selling pressure from Grayscale's GBTC fund has almost dried up, as the fund recorded positive inflows of $45.7 million on October 18.
The positivity also spilled over to Spot ETH ETFs, which have been trading sluggishly since their launch in July. On October 17, ETH ETFs saw net inflows of $48 million, the highest level this October.
According to Eric Balchunas (Bloomberg's senior ETF analyst), the inflow of money into BTC ETFs since their launch in January this year has surpassed the $20 billion mark (reaching $20.66 billion). Balchunas asserted that this is a very impressive number, as even Gold ETFs took about 5 years to reach the same milestone.
The Assets Under Management (AUM) of BTC ETFs has also reached a record high of over $65 billion.
Since the beginning of this year, BTC price movements have been highly correlated with capital flows into BTC ETFs. Whenever capital flows are positive, BTC prices grow well and vice versa.
Favorable macro conditions such as interest rate cuts by central banks across the globe have prompted investors to pour capital into risk assets like BTC.
In addition, Mr. Trump's election victory rate suddenly increased sharply last week, causing more investors to invest in BTC as Mr. Trump is famous for supporting Bitcoin.
Gold price has broken ATH 2,700 USD in recent days, so everyone expects “Digital Gold” (Bitcoin) to follow suit and break ATH by the end of this year.
