Bitcoin exchange-traded funds saw a positive change this week, attracting $2.73 billion in inflows, with analysts expecting an even bigger boost as Bitcoin managed to surpass $100k.
The 12 Bitcoin ETFs recorded positive inflows throughout the week, driven by optimism about a more crypto-friendly regulatory environment under President-elect Donald Trump than recently. appointed pro-crypto former federal regulator Paul Atkins as SEC chairman, succeeding anti-crypto Gary Gensler.
The highest flows of the week, for a total of $766 million, were recorded on December 5, alongside a 50% increase in daily ETF trading volume, as Bitcoin soared from the elusive $100K mark to a new high of $103,679 – a milestone widely celebrated by the crypto community.
However, inflows into the BTC ETF spot offering fell to $376.59 million on Friday, December 6, as Bitcoin, the flagship crypto asset, fell below $97,000, along with the market. hoping for clearances more than half a billion dollars in one day.
ETF flows
Weekly inflows reached $2.73 billion, marking the second-best week for these investment vehicles, behind only the record week of November 18-22, which saw a all-time high of $3.38 billion.
BlackRock’s IBIT, which dominates inflows for the sixth consecutive day, led the lot with $257.03 million on Friday, December 6, while only four of the twelve funds managed to attract capital for data by SoSoValue.
The flows in the remaining ETFs are as follows:
- Fidelity’s FBTC: $120.17 million.
- ARK and ARKB of 21Shares: $24.9 million.
- Grayscale Bitcoin Mini Trust: $6.75 million.
Grayscale’s GBTC was the only outlier of the day, recording flows of $32.3 million and extending its streak to four out of five days of the week, with a total of $303.5 million coming out of the background The remaining seven BTC ETFs saw zero flows.
Despite a dip at the end of the week in flows, US Bitcoin ETFs have overcome Satoshi Nakamoto’s wealth of 1.1 million tokens, accumulating more than 1.104 million tokens within a year of its launch.
Experts predict that US institutional interest in Bitcoin through ETFs and corporate treasuries will continue to grow, driving the broader digital asset ecosystem toward global adoption.
Alessio Quaglini, CEO of Hex Trust suggests this trend could ignite competition between nation states to acquire Bitcoin. Similarly, Petr Kozyakov, co-founder and CEO of Mercuryo, told crypto.news that digital assets are evolving from speculative investments into transformative technology with widespread adoption.
Bitcoin could climb to $200K by 2025
Weekly inflows into Bitcoin ETFs also helped push Bitcoin past the $100,000 mark last week, with experts projecting even greater heights for the leading cryptocurrency.
In a recent noteGeoff Kendrick, the global head of digital asset research at Standard Chartered, predicted that Bitcoin could reach $200,000 by the end of 2025.
“We would turn even more bullish if BTC saw faster adoption by US retirement funds, global sovereign wealth funds (SWFs), or a potential US strategic reserve fund,” he added.
Similar projections have been made done by Bitwise analysts, citing growing institutional demand and shrinking Bitcoin supply, amplified by the popularity of Bitcoin ETFs, as key drivers.
Despite the bullish projections, some industry experts have urged caution.
Mike Novogratz, head of digital crypto bank Galaxy Digital, has warned of potential market correction amid the rise of Bitcoin. According to him, many market participants are “leveraged to the gills”, and therefore volatility is expected.
Chris Burniske, a partner at Placeholder, recently he echoed similar concerns, urging investors to keep their expectations in check, pointing to the 2021 bull market as a cautionary tale.
“Bitcoin’s brief surge beyond $100,000 may not be sustainable in the short term,” Burniske explained, adding that the inflated expectation in 2021 saw Bitcoin peak at $70,000 instead of the anticipated $100,000.
At the time of writing, Bitcoin (BTC) was only 0.4% away from reaching $100,000 again. It is up 1.4% in the last 24 hours, trading at $99,580 at press time.
