Bitcoin ETFs Dominate, Representing 75% of Recent Investment Inflows
Approximately 75% of recent Bitcoin investments can be attributed to the approval of 10 spot Bitcoin exchange-traded funds (ETFs).
Because Bitcoin
February 15, 2024
A recent Cointelegraph report states that approximately 75% of recent Bitcoin investments can be attributed to the approval of 10 spot Bitcoin exchange-traded funds (ETFs) in the United States on January 11, excluding Grayscale's Bitcoin Trust (GBTC) ETF. The info comes from a February 14 report from on-chain data analytics firm CryptoQuant.
The report highlights that these ETFs have become a major driver, constituting over 2% of the total historical investment in Bitcoin within just one month. As of February 15, Bitcoin experienced a 1.8% increase, trading at $52,354, following its recent surge to a two-year high of $51,000 on February 14. The total crypto market capitalization stands at $1.96 trillion, showing a 2.01% increase on the day.
CryptoQuant's head of research, Julio Moreno, emphasized the role of ETF demand in propelling Bitcoin's price over $50,000, with spot Bitcoin ETFs accumulating a total of 4,115 Bitcoin (approximately $215 million). BlackRock’s iShares Bitcoin Trust ETF led the inflows with 4,843 Bitcoin, valued at $253 million. Looking ahead, the report predicts Bitcoin to surpass $56,000 as the next significant price level, asserting that valuation indicators do not indicate a significant risk of a substantial price correction. James Wo, CEO of crypto investment firm DFG, supported this view, attributing Bitcoin's rise to ETF inflows and noting that spot Bitcoin ETF products now hold a cumulative value exceeding $10 billion.
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