Key Takeaways
- BlackRock’s IBIT ETF trading volume reached $3.36 billion on Tuesday.
- Bitcoin ETFs saw increased activity, with over $642.9 million in inflows.
- Analysts suggest FOMO is driving inflows amid Bitcoin's price rally.
BlackRock’s iShares Bitcoin Trust (IBIT) reached $3.36 billion in trading volume on Tuesday, the highest in six months, driven by a surge in Bitcoin interest.
The ETF saw $642.9 million in inflows, more than double the previous day’s figure, reflecting the broader trend across U.S. spot Bitcoin ETFs.
Prices hold
Bitcoin prices continue to hold above $72,000, and the price rally has sparked increased activity across Bitcoin ETFs, defying the typical pattern of high volumes during market downturns.
ETF analyst Eric Balchunas suggested this could be due to FOMO (fear of missing out) driving inflows. He expects the trend to continue, with U.S. spot Bitcoin ETFs on track to reach one million BTC held by next week.
BlackRock’s growing involvement in Bitcoin is notable, with the company purchasing $680 million in Bitcoin recently.
Larry Fink
CEO Larry Fink has shifted his stance, now recognizing Bitcoin as an independent asset despite past skepticism.
As large institutions like BlackRock dominate the Bitcoin market, concerns arise about the erosion of decentralization, a fundamental Bitcoin principle.
