In a context of historic rise in Bitcoin, American spot ETFs have just reached a major milestone by exceeding $100 billion in assets under management. This remarkable performance confirms the growing appetite of institutional investors for the queen of cryptos.
ETFs reach historic milestone of $100 billion
The twelve spot Bitcoin ETFs approved in the United States collectively reached $100.55 billion in assets under management as of Wednesday, representing approximately 5.4% of Bitcoin's total capitalization.
BlackRock largely dominates the market with its IBIT fund which totals $45.4 billion in assets, followed by Grayscale's GBTC with $20.6 billion.
Investment flows remain particularly dynamic with $733.5 million in net inflows recorded Wednesday, after 837.36 million the day before. BlackRock's IBIT continues to attract the majority of capital with $626.5 million in new investments, while Fidelity's FBTC captured $133.9 million.
Daily trading volume for these ETFs remains high, reaching $5.09 billion on Wednesday, down slightly from $5.71 billion the day before.
Bitcoin taken to new heights
This strong institutional demand is propelling Bitcoin towards new all-time records, with the cryptocurrency now trading around $98,000, up 3.8% over 24 hours.
The growing involvement of traditional players is also confirmed with the announcement of MicroStrategy which plans to raise $2.6 billion to continue its acquisitions of Bitcoin, after having already purchased 51,000 BTC last week at $88,617 per unit .
Open interest in Bitcoin contracts surged to $63 billion, with a daily increase of $6 billion, while implied volatility hits 60, suggesting possible big price moves as the psychological threshold of 100 approaches 000 dollars.
In short, this symbolic milestone of $100 billion in assets under management for Bitcoin ETFs demonstrates the growing maturity of the crypto market and its accelerated adoption by institutional investors. The next challenge for Bitcoin will be to maintain this momentum while managing the volatility inherent in profit-taking around record levels.
Maximize your Tremplin.io experience with our 'Read to Earn' program! For every article you read, earn points and access exclusive rewards. Sign up now and start earning benefits.
