The record rise in capital seen by 10 Bitcoin Exchange Traded Funds (ETFs), led by BlackRock Inc.’s iShares Bitcoin Trust (IBIT), topped $1 billion in 24 hours recently. This significant event highlights the growing worldwide acceptance of cryptocurrencies. The surging funds mainly came from institutional investors and individuals who are placing increased faith in digital economy.
The ETFs were primarily tech stocks, with companies such as PayPal and Tesla recognizing Bitcoin as a legitimate form of payment. As the cryptocurrency market grows, so does the interest in Bitcoin investment.
On a single day, the IBIT alone saw roughly $850 million inflows, taking its total inflows since its January 11 beginning to over $11 billion, as per BitMex data. Senior ETF Analyst at Bloomberg, Eric Balchunas, expressed that this surge indicates increased investors’ interest towards ETF offerings and Bitcoin investments.
Bitcoin has been trading near the $72,400 mark with minimal change in the past 24 hours. Despite remaining relatively stable, investors are eager to see whether the cryptocurrency will continue its uphill climb or if a downward correction is expected.
The previous one-day inflow record for spot bitcoin ETFs was $673 million as per BitMex. However, this record was recently broken with a massive inflow surge of $1.2 billion. This sudden increase is credited to increasing mainstream acceptance and diversifying investors in the Bitcoin sector.
Despite Grayscale Bitcoin Trust (GBTC) facing a $79 million outflow on a recent Tuesday, the trust has brought in over $11 billion since its establishment. These figures show a significant increase in the trust’s performance, emphasizing the continued faith investors are placing in cryptocurrencies.
Furthermore, IBIT was recently reported to hold around 196,000 bitcoins, briefly surpassing reserves held by MicroStrategy. This data further signifies the shift in mainstream finance strategies towards bolstering bitcoin investment and acknowledgement in their portfolios.
