U.Today - Bitcoin ETFs have passed another major milestone, surpassing $20 billion in total net flows for the first time. This key metric, often considered the most difficult to grow in the ETF world, was reached following a strong week of $1.5 billion in inflows.
By comparison, it took gold ETFs around five years to reach the same milestone. Total assets in Bitcoin ETFs now stand at $65 billion, marking a new high, according to data from Bloomberg's Eric Balchunas.
A visual from the Bloomberg terminal shared by Balchunas highlights the impressive figures, with BlackRock (NYSE:BLK )'s IBIT ETF contributing a notable $22.46 billion in inflows.
However, significant outflows from Grayscale's GBTC trust of $20.14 billion wiped out almost half of the gains. Despite this, net inflows remained strong, and Bitcoin ETFs as a whole still surpassed the $20 billion mark.
New beginning?As Balchunas noted, this milestone was primarily driven by the $1.5 billion inflow in the last week alone, a stark contrast to the previous weeks of outflows and negative sentiment on the market. The change in market conditions has revived interest in Bitcoin ETFs, pushing inflows higher and helping the sector regain momentum.
While this achievement is undoubtedly big, we will have to wait and see if it is the start of a new phase for Bitcoin ETFs. The future trajectory will depend on market conditions and broader trends like politics, despite the recent influx of capital suggesting that investor sentiment may be turning positive.
Either way, the $20 billion milestone is a new benchmark for Bitcoin ETFs and shows that more and more people are interested in investing in cryptocurrencies.
Source: Investing.com