Bitcoin exchange-traded funds (ETFs) saw a record influx of $936 million in investments during the most recent trading day, signaling growing institutional confidence. This marks the highest single-day inflow since January, driven by investors seeking refuge from global economic uncertainties.
A surge of over $1.4 billion in capital has flowed into U.S.-based Bitcoin ETFs over the past three days. Ark & 21Shares led the influx with a notable $267.1 million investment, followed closely by Fidelity’s FBTC product and BlackRock’s IBIT fund.
Experts suggest that Bitcoin is becoming increasingly viewed as a hedge against inflation and global risks. Rachael Lucas from BTC Markets highlighted that recent trends point to institutional capital shifting back toward cryptocurrencies in response to macroeconomic instability.
With an increase of 6.4% over the past 24 hours, Bitcoin’s price reached approximately $93,765. This rise indicates Bitcoin’s potential as a viable investment and further fuels the surge in ETF investments. Rising concerns about inflation and the weakening U.S. dollar have also fueled investor interest in Bitcoin.
A shift towards ‘digital gold,’ as many analysts call it, is fueling this interest. The total value of assets held in Bitcoin ETFs has surpassed $103 billion, potentially contributing to upward price pressures. Furthermore, optimism surrounding potential improvements in U.S.-China trade relations appears to be boosting investor sentiment, contributing to these unprecedented investment flows.
The record investment in Bitcoin ETFs indicates a significant shift in capital among institutional investors, who seem poised for further investments as market conditions evolve and economic uncertainties persist.