Weekly Bitcoin ETF inflows resume with $2.73b, BTC to $200k?
Bitcoin exchange-traded funds saw a positive change this week, attracting $2.73 billion in inflows, with analysts expecting even greater momentum as Bitcoin managed to surpass $100,000.
All 12 Bitcoin ETFs saw positive inflows throughout the week, driven by optimism about a more crypto-friendly regulatory environment under President-elect Donald Trump, who recently appointed Former pro-crypto federal regulator Paul Atkins as SEC chairman, succeeding anti-crypto Gary Gensler.
The highest inflows of the week, totaling $766 million, were recorded on December 5, alongside a 50% increase in daily ETF trading volume, as Bitcoin surpassed the elusive $100,000 mark to reach a new all-time high of $103,679 – a milestone widely celebrated by the community crypto.
However, inflows into spot BTC ETF deals fell to $376.59 million on Friday, December 6, as flagship crypto asset Bitcoin fell below $97,000, the market experiences liquidations exceeding half a billion dollars in a single day.
ETF Entries
Weekly inflows reached $2.73 billion, marking the second best week for these investment vehicles, behind only the record week of November 18-22, which saw a an all-time high of $3.38 billion.
BlackRock’s IBIT, which dominates cash flows for the sixth day in a row, leads the pack with $257.03 million on Friday, December 6, while only four of twelve funds managed to attract capital annually . data from SoSoValue.
Entries in the remaining ETFs are as follows:
- Fidelity FBTC: $120.17 million.
- ARK and ARKB from 21Shares: $24.9 million.
- Grayscale Bitcoin Mini Trust: $6.75 million.
Grayscale’s GBTC was the lone outlier of the day, seeing outflows of $32.3 million and extending its streak to four out of five days of the week, with a total of $303.5 million flowing out of the fund . The remaining seven BTC ETFs saw no inflows.
Despite a decline in cash flow at the end of the week, US Bitcoin ETFs exceeds Satoshi Nakamoto holds 1.1 million tokens, amassing over 1.104 million tokens within a year of launch.
Experts predict that U.S. institutional interest in Bitcoin through ETFs and corporate treasuries will continue to grow, driving the broader digital asset ecosystem toward global adoption.
Alessio Quaglini, CEO of Hex Trust suggests this trend could trigger competition between nation states to acquire Bitcoin. Similarly, Petr Kozyakov, co-founder and CEO of Mercuryo, told crypto.news that digital assets are evolving from speculative investments to a widely adopted transformative technology.
Bitcoin could climb to $200,000 by 2025
Weekly inflows into Bitcoin ETFs also helped push Bitcoin past the $100,000 mark last week, with experts forecasting even higher highs for the leading cryptocurrency.
In a recent noteGeoff Kendrick, global head of digital assets research at Standard Chartered, predicted that Bitcoin could reach $200,000 by the end of 2025.
“We would be even more optimistic if BTC were adopted more quickly by US pension funds, global sovereign wealth funds (SWFs) or a possible US strategic reserve fund,” he added.
Similar projections were do by Bitwise analysts, citing growing institutional demand and dwindling supply of Bitcoin, amplified by the popularity of Bitcoin ETFs, as the main drivers.
Despite the bullish projections, some industry experts have urged caution.
Mike Novogratz, head of digital crypto bank Galaxy Digital, said warned of potential market corrections amid the rise of Bitcoin. According to him, many market participants are “indebted to the gills” and, therefore, some volatility is expected.
Chris Burniske, partner at Placeholder, recently echoes similar concerns, urging investors to keep their expectations in check, pointing to the 2021 bull market as a warning.
“Bitcoin’s brief rise above $100,000 may not be sustainable in the near term,” Burniske explained, adding that inflated expectations in 2021 saw Bitcoin peak at $70,000 instead of the expected $100,000 .
At the time of writing, Bitcoin (BTC) was only 0.4% away from hitting $100,000 again. It was up 1.4% in the last 24 hours, trading at $99,580 at press time.
Post Comment