BlackRock’s Bitcoin ETF Inflows Reach $224 Million; Will BTC Rally to $70,000?
Spot Bitcoin ETFs have performed remarkably over the past few days, with net inflows reaching $202.6 million on August 26, 2024. BlackRock Spot Bitcoin ETF, IBIT, contributed the highest share to the net inflows as traders anticipate BTC's return to $70,000.
Good morning,
Yesterday's Bitcoin ETF flows were positive for $202.6 million.
Blackrock had $224.1 million of inflows.
Bitwise had $16.6 million of outflows and Fidelity $8.3 million.
Price grinded entire weekend between $65k and $63.5k, putting in the lows around $62.7k now.... pic.twitter.com/lf6ATrpe13
- WhalePanda (@WhalePanda) August 27, 2024
Farside Investors data reveals that IBIT's inflows overshadowed the outflows recorded for the Spot BTC ETFs. This substantial inflow highlights increased investor confidence in the ETFs amid optimism for US Federal Reserve rate cuts.
BlackRock's IBIT Shines as Bitcoin ETF Records Massive InflowsBlackRock's IBIT led Monday inflows with $224.1 million, followed by Franklin Templeton's EZBC, which recorded a net inflow of $5.5 million. WisdomTree's BTCM trailed closely behind EZBC with $5.1 million in inflows.
Meanwhile, Bitwise's spot BTC ETF BITB led the outflows with $16.6 million, while Fidelity's FBTC witnessed outflows of $8.3 million. VanEck's HODL followed, with $7.2 million as outflow. Meanwhile, Grayscale's GBTC, Invesco Galaxy's BTCO, and Valkyrie's BRRR recorded no flows.
The Spot ETFs' mixed performance suggests varying investment strategies and outlook among investors.
BlackRock added 4,000 shares from its IBIT Bitcoin ETF to its Strategic Global Bond Fund, which currently holds 16,000 IBIT shares. The announcement created investor optimism for the IBIT ETF.
BlackRock today filed an updated portfolio disclosure for its Strategic Global Bond Fund: 16,000 shares of iShares Bitcoin Trust held as of June 30, up from 12,000 shares reported in May.
Filing:https://t.co/ADSbiWyZdF
- MacroScope (@MacroScope17) August 26, 2024
Similarly, the Asian crypto ETF market seems bullish as Hong Kong's BTC ETF assets under management (AUM) increased to $2.2 billion.
Will Bitcoin Reclaim the $70,000 Price Level Soon?ETF News: Hong Kong Bitcoin ETFs Reach HK$2 Billion in Assets Under Management.https://t.co/pnOkRHGKqY
- MartyParty (@martypartymusic) August 26, 2024
Besides the BTC spot ETFs, other Bitcoin investment products have shown promise. A CoinShares report reveals that Bitcoin investment products made up $543 million of inflows recorded last week. Notably, BlackRock's IBIT dominated the inflows list for Bitcoin-affiliated products.
Last week, digital asset investment products saw inflows totalling US$533m, the largest inflows in five weeks. #Bitcoin was the main focus with inflows of US$543m.
Read our full report: https://t.co/YDi4otysRi pic.twitter.com/iwmO9WdxLb
- CoinShares (@CoinSharesCo) August 26, 2024
BlackRock's massive IBIT inflows come when Bitcoin's price is at a critical juncture. Since dipping below the $70,000 threshold in June, Bitcoin has grappled with significant bearish pressure. It has failed several attempts to reclaim this key level.
However, the consistent spot BTC ETF inflows suggest renewed investor interest, reigniting hope for an imminent reclaim of the $70,00 level. Despite the notable ETF inflows, Bitcoin's price remains down, trading at $62,334 with a 2% 24-hour decline.
The Crypto Fear and Greed Index reveals that investor sentiment is neutral and can go either way.
Will Bitcoin Reclaim $70,000?
Bitcoin has formed two consecutive red candles on the daily chart, showing pressure from the sellers. However, it has found strong support at the $62,000 price level and will likely rebound to $63,500 soon.
The RSI indicator suggests a short-term selling trend from traders willing to cash in on Bitcoin's recent gains. However, Bitcoin still maintains a positive trend since the RSI is at 53.09.
The MACD indicator displays a similar sentiment rising above its signal line and showing a buy signal. This implies that the buyers still control the market and will likely break above $63,500 in the coming days.
Bitcoin's rise to $70,000 is a long-term target as there's strong resistance from sellers at $65,000 and $69,000. Therefore, $63,500 is a more realistic target for Bitcoin in the coming days, but a break above it will likely move it higher.
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