Bitcoin ETFs just had a day to remember, the best since early May, and it’s not just the big boys making moves, though, yeah, the big boys are stealing the spotlight.
Fidelity’s Wise Origin Bitcoin Fund and Ark’s 21Shares Bitcoin ETF pulled in a combined $343 million in fresh cash, making up more than half of Monday’s total inflows.
Power
Fidelity’s FBTC alone saw a jump of $188 million in net assets in just 24 hours, while Ark’s ARKB wasn’t far behind, hauling in $155 million.
Together, these two funds helped push total Bitcoin ETF inflows for the day to $667.4 million.
Bitcoin itself was cruising above $100,000 for the 12th day straight, closing the week at its highest level ever. At the time of writing, Bitcoin’s trading at a cool $105,000, up 2.1% on the day. Not bad, huh?
But hold on, the real king here is BlackRock’s iShares Bitcoin Trust. This beast is bigger than the other 11 Bitcoin ETFs on Wall Street combined.
Yesterday, IBIT gobbled up $305.9 million in inflows, pushing its total net assets to $66.9 billion, about 3.2% of Bitcoin’s entire market cap. That’s institutional muscle flexing hard.
Catch
Hedge funds are also sniffing around, trying to cash in on the gap between Bitcoin’s spot price and its long-term futures.
This basis trade is looking mighty attractive right now, adding fuel to the fire. So far this year, IBIT has sucked in $8.3 billion, making it Wall Street’s sixth most popular fund.
That’s way ahead of the SPDR Gold Trust, which, despite gold’s 22% gain this year, can’t keep up with Bitcoin’s 12% climb. Yeah, gold’s shiny, but Bitcoin’s the big dog now.
Vanguard, the giant that usually plays it safe, is still sitting on the sidelines, refusing to offer Bitcoin ETFs. They call crypto more speculation than investment and don’t want it messing with their long-term investor vibe.
But Bloomberg’s Eric Balchunas thinks Vanguard might change its tune if Bitcoin rockets to $150,000 or $200,000.
When that happens, they’ll get tired of customers knocking on their door, and maybe, just maybe, they’ll let Bitcoin ETFs trade on their platform. That would be a game-changer.
It’s ETF-season?
Bitcoin ETFs are back in the spotlight, with big money pouring in and Bitcoin itself flirting with new highs.
BlackRock’s IBIT is the heavyweight champ, but Fidelity and Ark are no pushovers. And if Vanguard jumps in down the line? Well, that’s when the party really starts.
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