Spot Bitcoin ETFs See $4 Billion Inflows, Impact on BTC Price Continues
Spot Bitcoin ETFs have experienced significant inflows recently, with a total of $4 billion in net inflows to date. On February 13, the largest single-day net inflow of $631 million was recorded for the 11 Bitcoin ETFs. This influx of capital into these funds has resulted in a positive shift in the price of Bitcoin.
Will the Surge in Bitcoin ETF Inflows Continue to Impact BTC Price?
A recent analysis by renowned crypto analyst Ted Talks Macro highlights the impact of net inflows from Spot Bitcoin ETFs on the market. Since February 5, 2024, with a total of $2.38 billion in net inflows into Spot ETFs, Bitcoin’s price has surged from $42.6k to $49.6k. According to Ted Talks Macro’s breakdown, for every $1 billion in net inflows, Bitcoin’s price increases by around $2,900.
Ted Talks Macro also draws attention to the daily average net inflow of approximately $265 million, suggesting that this influx theoretically translates to a daily price increase of around $768 for Bitcoin. With the current rate of net inflows, it could take around 26 days to reach new all-time highs.
Important Disclaimers and Recent Inflow Data
Ted Talks Macro provides important disclaimers, stating that such high levels of net inflow may not be sustainable indefinitely. The analysis also acknowledges the simplification of assuming a linear relationship between flows and Bitcoin price.
According to statistics from Farside, the iShares Bitcoin ETF (IBIT) managed by BlackRock saw a remarkable surge in investments, with a $493 million influx recorded on Tuesday. BlackRock has outpaced its competitors in this regard, while Fidelity recorded the second-highest inflow of $163 million. On the other hand, Grayscale’s GBTC has experienced decelerated outflows, remaining below $100 million over the past three days of this week. Overall, Bitcoin ETFs have witnessed a net inflow of $3.7 billion.
On Monday, February 12, Spot Bitcoin ETFs acquired approximately ten times more Bitcoin than what miners generated. Initial data suggests that these Spot ETFs obtained at least $493.4 million worth of BTC, while miners produced around 1,059 BTC valued at roughly $51 million on the same day.
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