BlackRock bought 2,913 BTC ($184.3 million) on Wednesday, its highest single-day acquisition in September, amid a rebound in inflow.
Today’s news on Bitcoin confirms a resurgence of demand for Bitcoin in the ETF market. Notably, US Bitcoin spot exchange-traded funds (ETFs) had an enviable market debut in January amid surging demand for indirect exposure to the largest cryptocurrency by market cap.
This pent-up demand saw a record single-day net inflow of $1.05 billion in March and a record $62.5 billion net asset in June. However, a drop in this demand resulted in the funds running out of steam in July.
Interestingly, recent trends show inflows into the ETFs have resumed. BlackRock, the leading issuer by cumulative net inflow and net asset, procured 2,913 BTC on Wednesday, valued at $184.3 million. This is the highest inflow that the BlackRock iShares Bitcoin Trust (IBIT) has seen in September.
With the Wednesday purchase, BlackRock now holds 359,279 BTC, worth $23 billion. BlackRock topples other public firms holding Bitcoin by a margin, outholding MicroStrategy by 107,059 BTC.
Wednesday ETFs Performance
BlackRock’s $184.3 million purchase yesterday set the tone for a $105.8 million single-day inflow from US Bitcoin spot ETFs, per data from Farside Investors. Remarkably, BlackRock’s IBIT and the Bitwise Bitcoin ETF (BIBT) were the only products with a positive flow on Wednesday.
BIBT saw a net inflow of $2.07 million. Meanwhile, the Fidelity Wise Origin Bitcoin Fund (FBTC) sold 525 BTC ($33.2 million) and Ark 21Shares Bitcoin ETF (ARKB) dumped $47.41 million worth of Bitcoin yesterday. Other issuers, including Grayscale, recorded zero flows.
30D Net Flow Turns Positive
Amidst the traction rebound, the 30-day flow indicator has turned positive after a spell of negative trend. The change in trend shows that issuers have seen an average net inflow in the past 30 days, reiterating the renewed demand for Bitcoin spot ETFs.
#Bitcoin spot ETF demand has rebounded, with the 30-day net change in total holdings turning positive. pic.twitter.com/c0C8BaFPDq
— Ki Young Ju (@ki_young_ju) September 26, 2024
The U.S. Bitcoin ETF products are on a five-day inflow streak, accumulating nearly $500 million worth of the premier asset. Also, the funds have recorded net inflows in nine of the last ten days.
Furthermore, the amount of Bitcoin held in the US has resumed an uptrend, solely sponsored by the incessant inflow from spot ETFs.
The 🇺🇸U.S. is regaining dominance in #Bitcoin holdings. Its ratio compared to other countries is rising, driven by spot ETF demand. Only known entities are included. pic.twitter.com/a9XOb5134E
— Ki Young Ju (@ki_young_ju) September 26, 2024
For context, the lackluster inflow from US-based funds saw its dominance dip. However, revitalized investor traction has pushed its stash higher compared to other countries.
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