A significant change in U. S. spot Bitcoin exchange-traded funds (ETFs) resulted in a total of $100.9 million in net inflows, marking a reversal from previous redemptions and concluding a 19-day uninterrupted investment streak. Leading the inflows was Fidelity’s FBTC with $51 million, followed by BlackRock’s IBIT at $16 million, Bitwise’s BITB, VanEck’s HODL at $15 million, and Ark Invest’s ARKB with a $9 million growth in net assets.
On the contrary, Grayscale’s GBTC, WisdomTree, and Invesco did not attract any new investments. In total, the 11 Bitcoin ETFs have amassed $15.52 billion in net inflows. The influx in ETF investments on Wednesday was accompanied by the U.S. Labor Department reporting a stable consumer price index for May, hinting at a potential slowdown in inflation.
Despite this positive economic update, the Federal Open Market Committee opted to keep the current interest rate between 5.25% to 5.50%, with the Federal Reserve projecting only one rate cut in 2024 and maintaining caution regarding the ongoing deflationary process.
These events underscore the optimism surrounding Bitcoin ETFs, particularly with indications of a potential decline in inflation rates. The consistent demand for these funds reflects the market’s positive outlook on Bitcoin as a valuable asset.
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