This week, Bitcoin ETFs based in Uncle Sam's country had a record week, with over $1.1 billion in inflows. These figures demonstrate the increased confidence of institutional investors, but also the growing influence of financial products backed by Bitcoin in American portfolios.
A record week for US Bitcoin ETFs
The week of September 23-27, 2024 saw US Bitcoin ETFs attract more than $1.1 billion in investments, their best performance since mid-July. This figure includes a spectacular inflow of $494.4 million on September 27, a record day that had not been equaled since June 4, 2024. Among the players who dominated this dynamic, BlackRock, via its iShares Bitcoin Trust, attracted $499 million, followed by ARK 21Shares with 289.5 million and Fidelity with 206.1 million inflow.
These massive flows are partly explained by the Federal Reserve's decision to cut interest rates on September 18, 2024, which gave a boost to the crypto market. Bitcoin thus climbed 13.8% to reach $65,800, only 10.8% below its all-time high. This rebound, coupled with the renewed interest of institutional investors, has largely contributed to this influx of capital.
Long-term prospects and implications
Beyond these figures, it is important to note that US Bitcoin ETFs have now accumulated $18.8 billion in inflows since their launch in January 2023. This figure demonstrates a gradual, but marked, adoption of cryptocurrencies. active by institutional investors, as crypto-backed financial products gain legitimacy. Notably, Ether-based ETFs also had a record week, with $85 million in inflows, their best performance since August 2024.
These results suggest promising prospects for the fourth quarter. Historically, Bitcoin has often made gains greater than 50% during this period in five of the last nine years. If this trend continues, Bitcoin ETFs could continue to attract new capital and play a key role in the democratization of crypto investing. However, this increase in power remains conditional on the future decisions of regulators and central banks, who closely monitor developments in the financial markets.
The performance of Bitcoin ETFs in the United States is a strong indicator of the growing interest in cryptos, especially in the context of flexible monetary policies. As the fourth quarter looms, past trends and current flows point to a potentially fruitful period for Bitcoin. However, uncertainties linked to regulation and global macroeconomic conditions could still influence these dynamics.
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