BlackRock’s Bitcoin exchange-traded fund (ETF), IBIT, witnessed a significant surge in inflows on May 21, attracting over half a billion dollars—the largest single-day inflow in nearly two weeks. This comes as Bitcoin prices continue to soar towards record highs, fueling excitement in the crypto market. Data from Farside Investors shows that IBIT collected $530.6 million in net inflows on Tuesday, its largest haul since May 5th, when it received $531.2 million. Since April 9th, this fund has enjoyed consistent positive inflows. The significant influx is indicative of strong institutional interest and suggests many are anticipating further price growth for Bitcoin. IBIT’s acquisition of 4,931 BTC in just one day alone was significantly greater than the average daily BTC mined during the same timeframe (450). This level of accumulation suggests a substantial commitment from institutional investors, who believe in the potential for continued price appreciation. This surge in inflows aligns with a notable increase in trading activity among IBIT and other Bitcoin ETFs. The volume observed on May 21st was its busiest day since January, according to market tracker Trader T. This surge in trading signifies that more capital is expected to flow into Bitcoin-related investments. Overall, the U.S.-listed spot Bitcoin ETF market has witnessed $607.1 million in net inflows on May 21, with Fidelity’s Wise Origin Bitcoin Fund (FBTC) following closely behind with $23.5 million in new capital. Bloomberg ETF analyst Eric Balchunas describes this as a “classic feeding frenzy,” fueled by the price rally of Bitcoin, which recently reached nearly $112,000 on May 22nd trading. Balchunas noted that ETF volumes have not seen such levels since early January, when Bitcoin was near its all-time high. He further predicted that most ETFs will experience twice their typical inflows in the coming days. Industry experts anticipate this trend to continue, driven by investor anticipation and growing institutional participation in Bitcoin ETF products. Jeff Mei, COO at BTSE, highlights the impressive $3.6 billion in net inflows for Bitcoin ETFs this month alone. He suggests that this inflow could accelerate further if the Federal Reserve signals upcoming interest rate cuts. Meanwhile, Jupiter Zheng, partner at HashKey Capital, commented on the asset’s remarkable price surge above $110,000 and warned of increased volatility to come. However, he also highlighted the growing demand for Bitcoin as a long-term store of value in light of geopolitical uncertainty and economic instability.