Bitcoin Price Soars As US Bitcoin ETF Sees $222M Influx, What’s Next?

Bitcoin price US Spot Bitcoin ETF

The Bitcoin price has continued its upward momentum today while crossing the brief $67,000 mark over the last 24 hours, as the investors seem to have shifted focus on digital assets. Meanwhile, several market pundits also attribute the current rally in the Bitcoin price to the notable inflow of the U.S. Spot Bitcoin ETF. So, let’s take a look at the inflows noted by the U.S. Spot Bitcoin ETF.

US Bitcoin ETF Records $222M Inflow

The Bitcoin price has gained notable traction since last year, as evidenced by a rally of over 145% over the last 12 months. Notably, the hype and the approval of the U.S. Spot Bitcoin ETF seem to have bolstered the confidence of the cryptocurrency sector so far this year.

Although the Bitcoin price has witnessed volatile trading lately, mainly due to the cooling fund flow data of the Bitcoin ETFs. However, the scenario has changed this week, as evidenced by the significant inflows in the investment instruments.

Meanwhile, according to recent data from Farside Investors, the U.S. Spot Bitcoin ETFs have recorded a combined inflow of $221.5 million. Notably, Fidelity’s FBTC topped the list with an influx of $99.4 million. On the other hand, the Grayscale GBTC also recorded an inflow of $31.6 million, boosting the investors’ confidence.

Notably, this week, the overall inflow into the investment instrument was $948.3 million, reflecting the investors’ confidence in the crypto.

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Market Reaction As Price Soars

In a recent X post, Bloomberg Senior ETF analyst Eric Balchunas highlighted the resilience of Bitcoin ETFs, noting a substantial influx over the past two weeks. Balchunas emphasized that these inflows counterbalanced the negative flows experienced in April, bringing the net value back to approximately “+$12.3 billion” since their launch. 

However, he stressed the importance of this figure, as it accounts for both inflows and outflows, which are common in ETF trading. In addition, Balchunas advised against emotional reactions to these fluctuations, asserting that long-term prospects remain positive. Besides, he also noted that the Bitcoin ETF flow amounts, relative to assets under management (AUM), are relatively small, indicating stability in the market.

Meanwhile, amid this, the Bitcoin price soared 1.35% and traded at $66,977.71, while its trading volume fell 15.50% to $25.81 billion. Notably, the crypto has touched a high of $67,459.46 over the last 24 hours, while noting a year-over-year gain of about 146% as of writing.

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The post Bitcoin Price Soars As US Bitcoin ETF Sees $222M Influx, What’s Next? appeared first on CoinGape.


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