$100 Billion In Bitcoin ETFs: This Is Just The Beginning

In a context of historic Bitcoin rise, U.S. spot ETFs have just crossed a major milestone by surpassing 100 billion dollars in assets under management. This remarkable performance confirms the growing appetite of institutional investors for the queen of cryptos.

ETFs Cross a Historic Milestone of 100 Billion Dollars

The twelve Bitcoin spot ETFs approved in the United States have collectively reached 100.55 billion dollars in assets under management this Wednesday, representing about 5.4% of Bitcoin’s total market capitalization.

BlackRock overwhelmingly dominates the market with its IBIT fund totaling 45.4 billion dollars in assets, followed by Grayscale’s GBTC with 20.6 billion dollars.

Investment flows remain particularly dynamic with 733.5 million dollars of net inflows recorded on Wednesday, after 837.36 million the day before. BlackRock’s IBIT continues to attract the majority of capital with 626.5 million dollars of new investments, while Fidelity’s FBTC captured 133.9 million dollars.

The daily trading volume on these ETFs remains high, reaching 5.09 billion dollars on Wednesday, a slight decrease from the 5.71 billion dollars the day before.

Bitcoin Driven to New Heights

This strong institutional demand propels Bitcoin towards new historic records, with the cryptocurrency now trading around 98,000 dollars, up 3.8% over 24 hours.

The growing involvement of traditional players is also confirmed with the announcement of MicroStrategy, which plans to raise 2.6 billion dollars to continue its Bitcoin acquisitions, after already buying 51,000 BTC last week at 88,617 dollars each.

The open interest on Bitcoin contracts has surged to 63 billion dollars, with a daily increase of 6 billion dollars, while implied volatility hits 60, suggesting possible significant price movements as the psychological threshold of 100,000 dollars approaches.

In summary, this symbolic milestone of 100 billion dollars in assets under management for Bitcoin ETFs reflects the growing maturity of the crypto market and its accelerated adoption by institutional investors. The next challenge for Bitcoin will be to maintain this momentum while managing the inherent volatility related to profit-taking around record levels.