Spot Bitcoin ETFs Report Record Single-Day Intake
The spot Bitcoin exchange-traded funds (ETFs) reported a massive $457 million in net inflows on the 15th of December, registering their most vigorous single-day acceptance in over a month. This significant movement suggests an apparent reacceleration of institutional demand.
Fidelity’s Wise Origin Bitcoin Fund Dominates Inflows
Contributing to the majority of the day’s net inflows, Fidelity’s Wise Origin Bitcoin Fund (FBTC) led the charge. It recorded the most substantial daily intake at about $391 million. Another significant player in this influx was BlackRock’s iShares Bitcoin Trust (IBIT), which followed with around $111 million. Information regarding these statistics was gathered from Farside Investors.
Cumulative Net Inflows for US Spot Bitcoin ETFs Increase
Thanks to these robust inflows, cumulative net inflows for US spot Bitcoin ETFs swelled to exceed $57 billion. Additionally, total net assets soared above the $112 billion mark. This growth in assets translates to about 6.5% of Bitcoin’s total market capitalization, an impressive share of the global cryptocurrency market.
November and December’s Challenging Market
The unprecedented rebound of Bitcoin spot ETFs follows a turbulent period in November and early December where the market experienced alternating modest inflows and pronounced outflows. On November 11th, the Spot Bitcoin ETFs saw inflows surpassing $450 million when the funds pulled in approximately $524 million in a single day.
Vincent Liu Expresses on ETF Inflows
Vincent Liu, the chief investment officer at Kronos Research, shared his thoughts on the renewed interest in Bitcoin ETFs. He said the surge in inflows seems to suggest early positioning rather than late-cycle enthusiasm. He said, “As rate expectations soften, BTC becomes a clean liquidity trade again. Politics sets the mood, but capital moves on macro.”
The Imminent Federal Reserve Chair Appointment
While the market enthusiastically welcomes the BTC surge, it waits with bated breath for the appointment of the new Federal Reserve chair. The US President, Donald Trump, recently announced his plans to assign a new Federal Reserve chair who, according to him, firmly supports lowering interest rates. Trump will declare the successor to the current Fed Chair, Jerome Powell, early next year. Such a change in the economic environment is generally bullish for risk assets like crypto.
Bitcoin’s Return to Previous Year’s Price Levels
Bitcoin has reverted to price levels last seen nearly a year ago, leaving behind a thick supply cluster between $93,000 and $120,000 that continues to limit recovery attempts. This top-heavy structure has increased the amount of Bitcoin held at a loss to 6.7 million BTC, the peak level of the current cycle, according to Glassnode. Their report stated that demand remains delicate in both spot and derivatives markets.
Uncertain Future
The future of Bitcoin ETFs is punctuated with uncertainty, as momentum likely continues sporadically. Liu commented, “Momentum likely holds, but expect it to be uneven. Flows will track liquidity and price action. As long as BTC remains a clean macro expression, ETFs stay the path of least resistance.” Therefore, it seems that until $95,000 is reached in the Bitcoin selling price or fresh liquidity enters the market, Bitcoin is likely to remain trapped between structural support near $81,000.
