US spot bitcoin exchange-traded funds (ETFs) on Tuesday recorded their second-highest daily inflow ever, raising more than $886 million. This marks the largest single-day run of funds since March.
<blockquote class="twitter-tweet”>
NEW: twitter.com/hashtag/bitcoin?src=hash&ref_src=twsrc%5Etfw”>#bitcoin ETFs recorded $886 million in inflows yesterday, the 16th consecutive day of inflows.
We are back pic.twitter.com/Er2KDgXr9E
– bitcoin Magazine (@BitcoinMagazine) twitter.com/BitcoinMagazine/status/1798260991135736056?ref_src=twsrc%5Etfw”>June 5, 2024
ETFs have now had 16 consecutive days of inflows, leading to rumors of a “second wave” of demand. Fidelity's Wise Origin bitcoin Fund led inflows with $378.7 million, followed by BlackRock's iShares bitcoin Trust with $274.4 million.
In total, bitcoin spot ETFs hold more than $60 billion worth of btc. Analysts cite renewed institutional interest and the resurgence of bitcoin price above $70,000 as drivers of the latest wave of inflows.
This is the highest daily inflow for the funds since March 12, when they brought in a record $1.04 billion. The next day, bitcoin hit an all-time high of $73,679, showing the potential impact of the inflows.
The Grayscale bitcoin Trust also recorded a rare inflow of $28.2 million, just the seventh since becoming a spot ETF in January. It adds to the renewed enthusiasm despite the bleeding of funds for most of the year.
With large companies like Fidelity and BlackRock holding bitcoin spot ETFs that now hold tens of billions in assets, the infrastructure for institutional investment in bitcoin continues to mature.
The latest wave of inflows follows the recent approval and listing of bitcoin-regulated funds in Australia, the United Kingdom and Thailand. With regulatory climate warming around the world, bitcoin ETFs are attracting capital once again.
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