Record Monthly Net Inflow Expected for US Bitcoin ETFs
A dozen US Bitcoin exchange-traded funds are seeing a surge in monthly net inflow, with a record-breaking $6.2 billion coming in so far in November. This growth is fueled by Bitcoin’s climb towards $100,000, largely influenced by President-elect Donald Trump’s positive stance on cryptocurrency.
Just last week, Bitcoin nearly reached $100,000 for the first time, thanks to Trump’s promise to reverse the Biden administration’s restrictive policies on crypto. Trump has also expressed support for creating a strategic stockpile of Bitcoin in the US.
Experts like Josh Gilbert, a market analyst at eToro, predict that under a Trump administration, owning Bitcoin through ETFs will become more accessible for businesses and retirement funds. This positive outlook has investors excited about the future of cryptocurrency.
Although Bitcoin has pulled back slightly this week and is currently trading around $96,400, it has more than doubled in value this year. Other cryptocurrencies like Cardano and Solana have also been relatively stable. Despite its volatility, Bitcoin has outperformed global stocks and gold, making it a valuable asset for investors.
The Securities and Exchange Commission (SEC) reluctantly approved US spot-Bitcoin ETFs in January under Gary Gensler’s leadership. Gensler, who has been critical of the crypto industry, is stepping down, and Trump is expected to appoint a crypto-friendly SEC chair. This could open the door for ETFs for other digital tokens, marking a significant shift in the regulatory landscape for cryptocurrency.
Overall, the support from the Trump administration and the growing interest in cryptocurrency among investors are driving a surge in Bitcoin ETFs. The future looks promising for Bitcoin and other digital assets as they continue to gain mainstream acceptance and adoption in the financial markets.
