BlackRock's IBIT Leads Inflows as Bitcoin Price Rises Above $120,000
BlackRock's iShares Bitcoin Trust (IBIT) topped $1 billion in net inflows over three days this week, coinciding with Bitcoin's return above $120,000 for the first time since August. The surge in demand reflects increased momentum behind both the cryptocurrency and U.S.-listed Bitcoin exchange-traded funds (ETFs).
Record Inflows Sparked by Market Performance
Despite outflows totaling $46.6 million earlier in the week, IBIT quickly rebounded with consecutive inflows, helping drive the total haul for U.S. Bitcoin ETFs to $2.25 billion. Other major ETFs also attracted significant investments, including Fidelity's FBTC with $622.3 million, Ark Invest's ARKB with $219 million, and Bitwise's BTB with $187.9 million.
- IBIT: $1 billion net inflow over three days
- FBTC: $622.3 million weekly inflow
- ARKB: $219 million weekly inflow
- BTB: $187.9 million weekly inflow
Total U.S. Bitcoin ETF inflows since their January 2024 launch are nearing $60 billion, according to data compiled by The Block.
IBIT Hits Major Volume and Options Milestones
Trading volume in IBIT was also elevated on Thursday, accounting for $4.3 billion of the $5.6 billion in total Bitcoin ETF activity. This placed IBIT among the top 10 ETFs by daily volume, a group typically dominated by broad index products such as SPY, QQQ, and GLD.
IBIT�s assets under management have also climbed back above $90 billion for the first time, though it still trails the current top 10 U.S. ETFs by asset size.
Bitcoin ETF Options Activity Surpasses Deribit
Open interest in IBIT�s options contracts recently reached $38 billion, surpassing the $32 billion of bitcoin options open interest on the crypto derivatives platform Deribit for the first time. IBIT now represents about 45% of global bitcoin options open interest. Deribit, recently acquired by Coinbase, had previously been the sector leader since 2016.
Ethereum ETFs Also Attract Strong Inflows
Meanwhile, BlackRock�s Ethereum ETF (ETHA) posted four days of inflows totaling $485 million, contributing to more than $1 billion in combined weekly inflows for U.S. Ethereum ETFs. These products, which only launched in July 2024, have amassed over $14 billion in cumulative inflows.
�Uptober� Strength Drives Crypto and Broader Markets
The ETF inflow streak coincides with broader gains in crypto and traditional asset markets. Bitcoin surged nearly 10% over the week, while leading cryptocurrencies posted an average gain of 11.9%. According to analysts, October has historically delivered positive returns for Bitcoin, with the trend persisting this year.
Stock markets and gold also saw record highs amid expectations of further U.S. Federal Reserve easing and ongoing political developments. Some market observers cited recent policy statements and market sentiment as catalysts for risk assets and safe havens alike.
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