July 16 was a pivotal day for BlackRock’s iShares Bitcoin Trust (IBIT), which saw a significant influx of $260 million from Bitcoin investors. This boosted the total net inflows into spot Bitcoin ETFs in the US to $422.5 million, marking the highest single-day inflow since early June, according to Farside Investors.
Alongside BlackRock’s IBIT, other US spot Bitcoin ETFs also experienced notable investments. The Fidelity Wise Origin Bitcoin Fund secured $61.1 million in inflows, followed by the ARK 21Shares Bitcoin ETF with $29.8 million. However, ETFs like Grayscale, Hashdex, and WisdomTree did not report any net inflows during this period.
After acquiring 4,004 Bitcoins recently and with Bitcoin’s price rising by 3% since Monday, BlackRock’s Bitcoin holdings have once again crossed the $20 billion mark. This achievement first occurred in late May when Bitcoin was nearing $70,000, solidifying BlackRock’s status as the largest Bitcoin ETF globally.
Nate Geraci, president of The ETF Store, emphasized the significance of BlackRock’s achievement, highlighting the increasing institutional interest in Bitcoin as a credible financial asset. This viewpoint echoes recent comments from BlackRock’s CEO, Larry Fink, who acknowledged Bitcoin’s potential as a hedge against currency devaluation.
Bitcoin is currently trading at $65,470, showing a 13.1% increase over the past week following a drop to $53,600 on July 5. Market volatility during this period was influenced by concerns over significant Bitcoin sales by the German government and updates on Mt. Gox’s plans to repay creditors.
The sustained inflows into Bitcoin ETFs, particularly through entities like BlackRock’s IBIT, underscore growing institutional confidence in Bitcoin amidst evolving market conditions.
