A total of $422.5 million in inflows were recorded across 11 spot BTC ETFs listed in the US on Tuesday.
The funds have raised over $1 billion in the last three trading days alone.
The price of BTC has recovered 23% since its drop to $53,500 on July 5.
Demand is back for US-listed exchange-traded funds that closely track Bitcoin’s {{BTC}} spot price, and how?
On Tuesday, 11 funds recorded cumulative net inflows of $422.5 million, the highest single-day revenue since June 5, extending a seven-day winning streak, according to data tracked by Farside Investors and Coinglass.
BlackRock’s IBIT accumulated over $260 million on Tuesday, accounting for the bulk of cumulative inflows. FBTC attracted $61.1 million, while GBTC, DEFI and the others except BTCW attracted less than $30 million each.
The total amount of money withdrawn by these funds in the last three days has exceeded $1 billion, indicating investors’ confidence in Bitcoin’s price prospects.
BTC has climbed 23% to $65,800 since reaching a low near $53,500 on July 5, CoinDesk data shows. In addition to ETF inflows, the price recovery could be tied to the exhaustion of selling pressure in the German state of Saxony, a significant improvement in the likelihood of pro-crypto Republican candidate Donald Trump winning the November 4 U.S. presidential election, and Trump’s decision to appoint BTC holder and Ohio Republican senator James David Vance as his vice president.
Vance has been supporting BTC and digital assets since 2021 and began circulating a draft version of crypto legislation last month.
“It is notable that Vance is advancing crypto legislation at a time when he knows he is being considered by Trump for vice president. This highlights the newfound political importance of crypto, but also the degree to which digital asset policy has become part of the Republican vision for the U.S. economy,” FRNT Financial said in its Tuesday newsletter.
“Additionally, the VP decision was also seen as a choice in political succession, given that Trump would only be able to serve another four years if elected. It is also encouraging for the crypto community that Trump’s apparent political successor is a BTC holder and prioritizes crypto-friendly legislation,” FRNT added.
It’s also likely that the crypto market will catch up with the continued rally in tech stocks on Wall Street as the Saxony glut is overtaken. Reports of renewed creditor repayments from bankrupt exchange Mt. Gox on Tuesday failed to keep BTC prices under pressure for long.