Both institutional and private investors of the Spot Bitcoin Exchange Traded Funds (ETFs) are starting to bet heavily on BTC as the products have seen a significant increase in inflows, indicating that investors are very interested and have great confidence in the long-term potential of the digital asset.
Significant inflows into spot Bitcoin ETFs
According to London-based investment company Farside Investors divided According to Micheal Van De Poppe, a crypto expert and Chief Information Officer (CIO) of MN Consultancy, spot Bitcoin ETFs have risen dramatically in the last 24 hours.
On Monday, Van De Poppe pointed out that exchange funds recorded a whopping $202 million in net inflows. This is a significant increase in net inflows compared to last Monday’s inflows of $62.1 million, indicating rising assumption of the products under Investors daily.
The net inflows recorded just yesterday represent almost 50% of the total net inflows for all trading days last week, which is worth around $500 million.
Should spot Bitcoin ETFs continue to attract such significant inflows, Van De Poppe says this is a critical sign of strength that could potentially lead to an increase in the value of the largest cryptocurrency asset. Given the impact of the products on prices and the renewed interest of investors, the market expert is confident that Bitcoin could reach a new all-time high before the end of September.
It is worth mentioning that BlackRockThe unprecedented iShares Bitcoin Trust (IBIT) is making up for the increase in inflows on its own. The platform’s IBIT fund attracted over $224 million worth of inflows daily, recording the highest inflow in the last 35 days, particularly on July 22, when it recorded about $526 million in capital.
Over the past day, funds from other investment management firms such as Franklin BTC ETF (EZBC) and WisdomTree BTC Fund (BTCW) recorded positive inflows of $5.5 million and $5.1 million, respectively. Meanwhile, Bitwise BTC ETF (BITB), Fidelity Wise Origin Bitcoin Fund (FBTC), and VanEck BTC ETF (HODL) recorded significant daily outflows of $16.6 million, $8.3 million, and $7.2 million, respectively.
Finally, Grayscale‘s BTC ETF (GBTC), Invesco Galaxy Bitcoin ETF (BTCO) and Coinshares Valkyrie Bitcoin Fund ETF (BRRR) recorded zero daily inflows.
The latest price development of BTC
The Capital inflow The spot Bitcoin ETFs follow a recent price decline that saw BTC fall from around $65,000 to $62,720. The development suggests that institutional and retail investors are taking advantage of the price drop to increase their exposure to the digital asset.
As the products attract significant inflows, there is speculation that BTC could rise again in the next few days. BTC’s trading volume has increased by over 44% in the last day and the price is at $62,818.
Featured image from Unsplash, chart from Tradingview.com
