In early January, U.S. spot Bitcoin exchange-traded funds (ETFs) experienced a sharp rebound, attracting nearly $1.9 billion in net inflows on January 3 and 6.
This marked a stark contrast to the outflows seen in late December and signaled renewed investor confidence in these crypto-focused funds.
The Fidelity Wise Origin Bitcoin Fund led the surge on January 6, drawing $370.2 million, followed by BlackRock’s iShares Bitcoin ETF with $209 million and ARK 21Shares Bitcoin ETF at $153 million. Other players, including Bitwise and Grayscale, collectively brought in over $70 million, while a few funds, such as those from Invesco and WisdomTree, saw no new investments.
These inflows nearly erased the $1.9 billion outflows recorded in late December, bringing the total net inflows for U.S. spot Bitcoin ETFs to $36.9 billion since their launch less than a year ago. BlackRock’s iShares Bitcoin ETF remains the top performer, with $37.4 billion in net inflows, while Grayscale’s GBTC fund has struggled, losing $21.4 billion.
Despite current demand being driven largely by retail investors, experts predict institutional interest will grow significantly by 2025 as more trading infrastructure is developed. This expected shift underpins optimistic Bitcoin price forecasts, with Bitwise predicting a peak of $200,000 and VanEck projecting $180,000 within the next two years.
Metaplanet is aggressively expanding its Bitcoin holdings through an unconventional $5.4 billion capital raise, positioning itself as a leading BTC proxy in Asia.
BlueBird Mining Ventures, a London-listed firm traditionally focused on gold, is making headlines after announcing it will liquidate its gold reserves and begin accumulating Bitcoin as a treasury asset.
Bitcoin tumbled sharply today, shedding more than 3.5% in a matter of hours and briefly flirting with the critical $100,000 level.
Bitcoin is treading water near $105,000, but pressure is building on both sides of the trade as macro forces tighten.