Crypto News- Yesterday marked a significant milestone for Bitcoin (BTC) enthusiasts as the cryptocurrency surged past the coveted $50,000 mark. This remarkable feat was propelled by a surge in net inflows into spot BTC exchange-traded funds (ETFs), a trend not seen since December 2021.
According to preliminary data provided by Farside Investors, a notable investment management firm, IBIT, the ETF managed by BlackRock Inc (NYSE: BLK), experienced a substantial increase in total holdings, reaching $4.1 billion after witnessing a net inflow of $375 million on Monday. Similarly, Fidelity Investment’s FBTC ETF saw a net inflow of $152 million, pushing its total holdings to $3.2 billion.
However, amidst the influx of funds into various ETFs, there were also notable outflows recorded. Grayscale Investments’ GBTC, for instance, saw a significant outflow of $95 million, highlighting a mixed sentiment among investors.
Bitcoin Spot ETFs Witnessed a Surge in Net Inflows, Approaching 500M Dollars, as BTC Surpasses 50,000 Dollars Mark
Despite the correction in Bitcoin’s price to below $50,000, recent data indicates a bullish trend, with BTC trading at $49,795. Over the past seven days, Bitcoin has surged nearly 17%, with a 4% increase in the last 24 hours alone.
The surge in net inflows into spot Bitcoin ETFs underscores a growing interest in the cryptocurrency from traditional financial sectors. Entrepreneur and tech investor Anthony Pompliano echoed this sentiment, emphasizing Wall Street’s increasing appetite for Bitcoin. Pompliano noted that institutional investors are acquiring Bitcoin at a rate surpassing the network’s production capacity, indicating a strong bullish sentiment.
Bitcoin’s Rally: Institutional Investment Surge Drives BTC Beyond 50K Dollars
Furthermore, recent data reveals that spot Bitcoin ETFs have accumulated approximately 5% of the cryptocurrency’s tradable supply within a month, demonstrating a significant shift in institutional investment strategies.
This positive momentum in Bitcoin’s performance has prompted BitMEX co-founder Arthur Hayes to revise his outlook, now believing that Bitcoin could reach its previous all-time high of $70,000. Hayes’ change in perspective contrasts with his previous bearish stance, signaling a renewed optimism among industry insiders.
In summary, the surge in net inflows into spot Bitcoin ETFs, coupled with Bitcoin’s impressive price performance, reflects a growing confidence and interest in the cryptocurrency market among institutional investors.
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