Spot Bitcoin ETFs in the United States have seen significant inflows over the past two weeks, setting new records daily. The BlackRock Bitcoin ETF (IBIT) has been leading the charge with substantial inflows, as highlighted in the CNF update. Over the past ten trading sessions, IBIT recorded inflows worth more than $1.3 billion, raising its total assets to over $18 billion.
This indicates that BlackRock has managed to absorb the entire outflow from Grayscale's GBTC since the launch of the spot ETFs. Consequently, net inflows into U.S. Bitcoin spot ETFs have remained at $17 billion.
Clearly, BlackRock's significant investments in Bitcoin are paying off. These inflows occurred during a period when the Bitcoin price plummeted to $53,500 and then recovered to $65,000. With the current inflows, BlackRock's total BTC holdings in IBIT have surpassed 325,000 since its inception in January. As a result, the value of IBIT's total BTC holdings has exceeded $20 billion, making it the largest Bitcoin ETF, with Fidelity's ETF coming in second with $10 billion in inflows.
Fidelity's FBTC has been a significant player with $9.962 billion in net inflows. This strong interest is underscored by the fact that U.S. spot Bitcoin ETFs recorded positive inflows for nine consecutive days, including $53.35 million on July 17.
Bitcoin's Path Forward
In recent days, Bitcoin's price has exhibited significant volatility due to major political events in the United States. As of the latest report, Bitcoin was up by 1%, trading at $67,648 with a market capitalization of $1.334 trillion. According to a recent report by QCP Capital, the U.S. election has increased volatility in risk assets, starting with the assassination attempt on Trump a week ago. Additionally, there is strong speculation that Donald Trump may announce his intention to make Bitcoin a reserve asset if he wins the presidential election in November, according to the CNF report.
On the other hand, President Joe Biden's withdrawal from the presidential race has provided a boost to Bitcoin and the broader crypto market, CNF reports. The Biden administration was largely crypto-hostile throughout its tenure, so his resignation has given the crypto community some hope.
This led to erratic movements in the crypto market, with Bitcoin initially dropping over 1,000 points before rebounding to $68,000 today. Election-related news will continue to drive market volatility, especially in the crypto sector, with heightened attention on Trump's upcoming appearance at the Nashville Bitcoin Conference this weekend, reports QCP.
