Originally published on: November 21, 2024
The United States is witnessing a monumental milestone in the world of cryptocurrency as Bitcoin exchange-traded funds (ETFs) have broken $100 billion in net assets for the first time ever. This significant achievement was recorded on Nov. 21, according to data from Bloomberg Intelligence.
Since the launch of spot BTC ETFs in January, Bitcoin has been the undisputed leader in the ETF landscape. The interest from investors surged even further after the election victory of crypto-friendly President-elect Donald Trump on Nov. 5.
The sharp increase in BTC ETF net assets this November indicates a brighter future outlook for Bitcoin post-Trump’s win. Bryan Armour, the director of passive strategies research at Morningstar, highlighted the positive impact of Trump’s election on Bitcoin’s performance, leading to over $5 billion in inflows.
The combined net assets of BTC ETFs now stand at approximately $104 billion, inching closer to surpassing gold ETFs, which currently hold around $120 billion in assets under management (AUM) as of Nov. 21. ETF analyst Eric Balchunas from Bloomberg Intelligence noted that Bitcoin ETFs are approaching the status of the largest holder in the market.
Among the Bitcoin ETFs, BlackRock’s iShares Bitcoin Trust (IBIT) has emerged as the front-runner, attracting $30 billion in net inflows since January, as per Bloomberg data. Following closely behind is Fidelity Wise Origin Bitcoin Fund (FBTC) with inflows exceeding $11 billion this year.
The post-election surge in the cryptocurrency market has been significant, with Bitcoin trading at over $96,000 as of Nov. 21, marking nearly a 120% increase since the beginning of the year. Trump’s victory led to a massive uptick in interest, driving more investors towards cryptocurrencies.
As the industry braces for potential geopolitical uncertainties, investors are turning towards assets like gold and BTC as a hedge against risks. Market experts predict that Bitcoin could reach values anywhere between $100,000 and $150,000 per coin, highlighting the growing confidence in the digital currency.
With the rapid growth and increasing popularity of Bitcoin ETFs, the cryptocurrency market is poised for further expansion and evolution in the coming years. Stay tuned for more exciting updates and insights on the latest trends in the world of finance and investments.
