Crypto ETFs Attract $3.6 Billion in Week Bitcoin Hits $119,000

Wall Street's appetite for cryptocurrency has been evident in recent weeks, with the past five days being particularly noteworthy. ETFs tracking the performance of Bitcoin and Ethereum, the two largest digital assets by market capitalization, attracted a substantial amount of capital, totaling over $3.6 billion for the week.

Bitcoin ETFs led the charge, with net inflows amounting to $2.7 billion. The most significant inflows occurred on Thursday and Friday, with $1.175 billion and $1.029 billion respectively. BlackRock’s IBIT and Fidelity’s FBTC were among the top performers, attracting $448.5 million and $324.3 million on Thursday. On Friday, IBIT continued to dominate, drawing in $953.5 million. This surge in investment contributed to Bitcoin’s price reaching a new all-time high of nearly $119,000 on Friday, marking a significant increase of over $10,000 from the previous week.

Ethereum ETFs also saw impressive results, with a total of $908.1 million in net inflows for the week. Thursday was particularly notable, with $383.1 million entering the funds. BlackRock’s ETHA led the way, capturing over $300 million of the Thursday inflows and $137.1 million on Friday. Ethereum’s price responded positively to this investment, rising from $2,500 on Wednesday to a multi-month high of $3,040 on Friday, although it has since slightly retraced to just under $3,000.

The substantial investment in both Bitcoin and Ethereum ETFs reflects a broader trend of institutional adoption of cryptocurrencies. The consistent inflows into these ETFs, despite occasional market fluctuations, indicate a growing acceptance of digital assets as a viable investment option. This trend is likely to continue as more institutional investors seek exposure to the cryptocurrency market through regulated financial instruments.

The impressive performance of these ETFs also highlights the increasing demand for digital assets among investors. The fact that all Bitcoin ETFs have seen only one negative day since June 9 further underscores the growing confidence in these investment vehicles. As more institutional investors allocate capital to cryptocurrency ETFs, the market for digital assets is likely to continue to grow and evolve.