Spot Bitcoin exchange-traded funds (ETFs) in the United States experienced a significant rebound, attracting nearly $1.9 billion in net inflows on January 3 and January 6. This surge in interest marked a reversal from the low demand observed in the latter half of December, showcasing a renewed appetite for Bitcoin investments among investors.
On January 6 alone, Bitcoin ETFs drew in $978.6 million, led by the Fidelity Wise Origin Bitcoin Fund, which reported inflows of $370.2 million. The BlackRock iShares Bitcoin ETF and the ARK 21Shares Bitcoin ETF followed closely, bringing in $209 million and $153 million respectively. Other notable entrants included the Bitwise Bitcoin ETF and Grayscale’s two spot Bitcoin ETFs, which collectively gained over $70 million on that same day. However, the Invesco, Valkyrie, and WisdomTree Bitcoin ETFs recorded no inflows, revealing a mixed reception across the market.
These two robust days of inflows nearly offset the $1.9 billion in outflows recorded from December 19 to January 2. Since their launch nearly a year ago, spot Bitcoin ETFs have amassed a total of $36.9 billion in net inflows, with the BlackRock iShares Bitcoin ETF leading the pack at $37.4 billion, followed by the Fidelity Wise Origin Bitcoin Fund at $12.4 billion. In stark contrast, Grayscale’s converted GBTC has experienced $21.4 billion in outflows.
Recent data reveals that approximately 80% of demand for spot Bitcoin ETFs comes from retail investors rather than institutions. However, analysts anticipate a shift towards greater institutional participation as more clearinghouses for spot Bitcoin ETF trading become available in 2025. This expectation is one of the factors behind the bullish Bitcoin price projections, with some predicting it could reach as high as $200,000 in the next two years.
