Investor confidence grows as Bitcoin ETFs record $150M surge

Bitcoin ETFs have witnessed a major inflow of $150 million, reflecting growing investor confidence as the cryptocurrency’s price continues to recover. 

According to data from Farside Investors, this significant surge in ETF investments took place on September 19, following a sharp outflow of $52.7 million the previous day. 

The price of Bitcoin, which briefly dipped to $62,586, has since rebounded and is now trading at around $63,127, a positive shift after earlier falling below $53,000 this month.

Leading the inflow were the Ark 21Shares Bitcoin ETF (ARKB) and Fidelity Wise Origin Bitcoin Fund (FBTC), which saw inflows of $81.1 million and $49.9 million, respectively.

Other notable funds, including Bitwise’s BITB ETF and Franklin Templeton’s EZBC, also experienced inflows. 

However, BlackRock’s IBIT ETF remained stagnant, recording its third consecutive day of zero activity.

This trend comes amid Bitcoin’s broader price recovery, with the cryptocurrency up 7.5% in the last week and over 3% in the past 30 days. 

The inflow into Bitcoin ETFs highlights renewed interest from investors, coinciding with the digital asset’s rebound after a period of volatility.

Bloomberg Senior ETF Analyst Eric Balchunas noted the growing influence of Bitcoin ETFs, reporting that year-to-date inflows have hit $17.7 billion. 

In a striking comparison, Balchunas pointed out that Bitcoin ETFs, despite only being around for nine months, already account for 5% of Bitcoin’s total market capitalization, whereas gold ETFs make up just 1% of gold’s market cap after 22 years.

Balchunas emphasized the speed at which Bitcoin ETFs are growing compared to gold, stating, “$17.7 billion in net flows is equivalent to 1.5% of Bitcoin’s market cap, putting Bitcoin ETFs far ahead of gold ETFs in terms of market impact.”