Bitcoin exchange-traded funds (ETFs) in the United States experienced a significant increase in inflows, receiving over half a billion dollars in a single day. On October 14, the 11 ETFs collectively saw net inflows of $555.9 million, marking their highest daily inflow since early June. This surge coincided with Bitcoin reaching a two-week high of $66,500 in late trading.
Nate Geraci, the President of ETF Store, described it as a “monster day” for spot BTC ETFs and noted that they have now accumulated nearly $20 billion in net inflows over the past 10 months. He emphasized that this demand is not solely driven by retail investors, but also by advisors and institutional investors who are gradually adopting Bitcoin.
Among the ETFs, the Fidelity Wise Bitcoin Origin Fund (FBTC) led the pack with an inflow of $239.3 million, its highest since June 4. The Bitwise Bitcoin ETF (BITB) received just over $100 million, while BlackRock’s iShares Bitcoin Trust (IBIT) saw inflows of $79.6 million. The Ark 21Shares Bitcoin ETF (ARKB) had inflows of nearly $70 million, and the Grayscale Bitcoin Trust (GBTC) experienced its first inflow for October at $37.8 million, the highest since early May.
In a post on October 14, Eric Balchunas, a senior ETF analyst at Bloomberg, compared Bitcoin ETFs to gold-based products and highlighted that since the launch of BTC funds in January, the asset has reached an all-time high five times. In contrast, gold has hit record highs 30 times this year, but gold ETFs have only seen $1.4 billion in net inflows, significantly less than the over $19 billion attracted by Bitcoin ETFs.
However, Ethereum funds did not experience the same level of momentum. Bitwise, VanEck, Franklin, and Grayscale saw zero net flows, while Fidelity and Invesco had minor flows. The BlackRock iShares Ethereum Trust (ETHA) received an inflow of $14.3 million, bringing its total to $17 million.
According to the CEO of Trezor, a cryptocurrency wallet provider, the popularity of Bitcoin ETFs has made Coinbase an attractive target for hackers and governments, emphasizing the need for enhanced security measures.