Bitcoin ETF Positive Streak Continues as BTC Surpasses $65K Amid Interest Rate Cuts
Bitcoin ETFs have observed positive inflows for six consecutive days, with a total of $365.57 million attracted on Thursday. This comes amidst a surge in Bitcoin’s price, surpassing $65,000, influenced by global interest rate cuts from major financial institutions. Grayscale’s GBTC experienced outflows, yet other ETFs recorded significant growth.
On Thursday, Bitcoin exchange-traded funds (ETFs) marked their sixth consecutive day of positive inflows, drawing in substantial investments amidst a notable surge in the price of Bitcoin itself. The ongoing positive momentum witnessed among U.S.-based spot Bitcoin ETFs coincides with a significant upswing in Bitcoin’s price, which has now exceeded $65,000. This surge has occurred as a global movement towards interest rate reductions gains traction, notably from central banks such as the United States Federal Reserve, the European Central Bank, and the People’s Bank of China. According to data sourced from SoSoValue, the total net inflow for U.S.-listed spot Bitcoin ETFs reached an impressive $365.57 million on Thursday alone, marking the most substantial inflow since late July. Leading the way was the ARKB ETF by Ark Invest and 21Shares, which attracted $113.82 million. Other significant contributors included BlackRock’s IBIT at $93.38 million, Fidelity’s FBTC at $74 million, Bitwise’s BITB at $50.38 million, and VanEck’s HODL at $22.1 million. Meanwhile, smaller inflows were noted from Invesco’s BTCO, Franklin Templeton’s EZBC, and Valkyrie’s BRRR, which together accounted for a modest $16.47 million after facing three consecutive days of no inflows. In contrast, Grayscale’s GBTC experienced a decline of $7.73 million, leading to a cumulative outflow of $20.12 billion since its inception. However, Grayscale’s Bitcoin Mini Trust (BTC), which manages nearly half a billion in net assets, managed to secure a small inflow of $2.87 million. Over the past week, Bitcoin has displayed remarkable resilience, achieving over a 10% increase in value this month alone. As of September 26, the price exceeded the $65,000 threshold, further advancing to $65,956 at the time this report was compiled, according to CoinMarketCap data.
The increasing popularity and investment in Bitcoin ETFs reflect a broader trend in cryptocurrency markets amidst changing economic conditions. With central banks around the world adjusting their monetary policies and reducing interest rates, investors appear to be seeking alternative assets that could offer higher returns, such as Bitcoin and other digital currencies. This interest in Bitcoin is further spurred by the introduction and performance of ETFs specifically focused on Bitcoin, which provide investors with a means to gain exposure to this cryptocurrency through regulated financial products, thus enhancing the legitimacy and acceptance of Bitcoin in mainstream finance.
In summary, the recent surge in Bitcoin’s price and the continued positive inflows into Bitcoin ETFs present a noteworthy trend in the cryptocurrency market. This development not only highlights the growing investor interest driven by favorable economic conditions, such as global interest rate cuts, but also showcases the evolving landscape of cryptocurrency investments through regulated financial instruments. While Grayscale’s GBTC faces challenges, the overall trend remains bullish for the Bitcoin ecosystem, with the potential for further advancements in the coming weeks and months.
Original Source: dailycoin.com
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