BlackRocks IBIT Sees 3188M Inflows Even as Bitcoin Drops Below 69K
On October 31st, BlackRock’s IBIT Bitcoin ETF saw a significant $318.8 million in net inflows despite a 4% decrease in Bitcoin’s price, which fell to around $68,800.
Data from Farside Investors shows that this recent influx of capital came after IBIT’s exceptional performance on October 30th, when the fund attracted $872 million, surpassing its previous high of $849 million in March. The fund has now received over $2.1 billion in weekly inflows.
Although BlackRock’s IBIT saw substantial net inflows, the 12 spot Bitcoin ETFs together only recorded $32.3 million in net inflows on October 31st, a significant drop from the $893.3 million seen the day before, which was the second-largest inflow since the launch of the ETFs.
Amidst this overall decline in Bitcoin ETFs, Valkyrie’s BRRR was the only other fund to see positive flows on Thursday, gaining $1.9 million. However, other major funds experienced significant outflows.
Fidelity’s FBTC ended a two-week streak of positive inflows, losing over $75.2 million. Similarly, ARK 21Shares’ ARKB, Bitwise’s BITB, VanEck’s HODL, and Grayscale’s GBTC collectively saw outflows totaling $213.2 million.
BlackRock’s IBIT has emerged as a key player not just in the crypto space but in the broader ETF industry as well, outperforming major ETFs like VOO, IVV, and AGG in the past week according to Bloomberg analyst Eric Balchunas. Launched less than ten months ago, IBIT has quickly amassed nearly $30 billion in assets, with half of that gained in the last month alone.
With U.S.-based spot Bitcoin ETFs now holding over 1 million Bitcoin, they are approaching the estimated 1.1 million BTC believed to be held by Bitcoin’s creator, Satoshi Nakamoto.
The inflows into IBIT and BRRR come at a time when Bitcoin’s market performance has seen a decline, with the digital asset’s price dropping 4.6% on October 31st. Additionally, there were widespread liquidations in the crypto market, totaling $246.38 million in long positions, with Bitcoin accounting for $78.45 million of those liquidations.
While Bitcoin ETFs had mixed results, Ethereum ETFs saw modest yet positive inflows on October 31st. The nine spot Ethereum ETFs collectively reported $13 million in net inflows, with BlackRock’s ETHA leading the way with $49.6 million in new investments. Grayscale’s ETHE, on the other hand, saw outflows of $36.6 million.
At the time of publication, Ethereum’s price mirrored Bitcoin’s downward trend, declining by 5.3% to $2,507.
In summary, the bullish sentiment towards Bitcoin remains strong, despite the recent market fluctuations.
