Biggest Net Inflow Day for Spot Bitcoin ETFs in 2 Months as BTC Price Hits $66,000

Spot Bitcoin ETFs have proven to have a significant impact on the price movements of the underlying asset, which could indicate upcoming BTC rallies.

That’s because investors poured more than $360 million in net inflows into US-based ETFs yesterday, the highest levels in more than two months.

Demand for spot BTC ETFs is on the rise

CryptoPotato has repeatedly reported in the past how investor perception and behavior towards spot BTC ETFs have driven significant price increases or corrections. In times of rising inflows, the price of bitcoin has risen, and vice versa.

Investors have been buying in recent weeks. Since September 6, there have been only two trading days with net outflows of 14. This culminated yesterday, with $365.7 million in net inflows flowing into financial vehicles, the highest since July 22.

Ark Invest’s ARKB led the pack with $113.8 million, followed by BlackRock’s IBIT ($93.4 million), Fidelity’s FBTC ($74 million) and BITB from Bitwise ($50.4 million). Grayscale’s GBTC alone saw outflows of less than $7.7 million. Thus, the world’s largest Bitcoin ETF, IBIT, has seen its total AUM grow to $21.3 billion.

These inputs have been met with an increase in the price of BTC. Note that since last Wednesday, when the US Fed announced a 0.5% cut in key interest rates, investors have been pouring funds into ETFs.

In that time frame, the price of bitcoin has risen from $59,300 to nearly $66,000 reached today. This represents an 11% increase in just over a week.

Bitcoin/Price/Chart 09/27/2024. Source: State of TradingView Ethereum ETFs

Ethereum ETFs have not enjoyed their time on US exchanges in the same way that their Bitcoin counterparts have. Still, there are some positive signs.

After significant withdrawals during the week the Fed cut rates, the situation worsened on September 23, with nearly $80 million leaving the funds. However, September 24 and 25 saw net receipts of $62.5 million and $43.2 million, which turned the week around.

However, yesterday was another day with small net outflows ($0.1 million). The majority came from the Grayscale fund (—$36 million), and Blackrock’s ETHE, as well as Fidelity’s FETH ($15.3 million and $15.9 million, respectively), were unable to offset losses.

At the same time, however, the price of ETH has gained more than 14% on a weekly basis and is now above $2,660.

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