On January 15, Bitcoin ETFs saw positive inflows following a drop in core CPI, boosting activity in global markets. Fidelity's FBTC led the inflows.
Positive Flows in Bitcoin ETFs
On January 15, Bitcoin ETFs recorded net inflows of $755 million following the drop in inflation, with Fidelity's FBTC leading at $463 million. This event followed a decline in Core CPI, spurring growth in stock and crypto markets.
Market and Inflation in the Wake of Core CPI
In December 2022, the Consumer Price Index rose by 2.9%, aligning with market expectations, while Core CPI, excluding food and energy prices, dropped to 3.2%, slightly below forecasts. This shift prompted a rally in equities and cryptocurrencies, with the S&P 500 posting a gain of over 100 points.
Institutional Interest in Bitcoin
Institutions exhibit growing interest in Bitcoin, analysts confirm. Blockchain analytics firm Santiment reported a recommencement in the accumulation of wallets holding over 10 Bitcoins, after a stagnation in late December and early January. Additionally, Hunter Horsley, CEO of Bitwise, noted continuous inquiries for Bitcoin ETFs from various nation-states.
Positive shifts in inflation and growing interest in Bitcoin are driving robust investments in crypto ETFs worldwide, reflecting significant institutional influence on the market.
