Bitcoin Spot ETFs Experience Record Inflow of $870M, BlackRock’s IBIT Takes the Lead with $643M
In the United States, Bitcoin spot exchange-traded funds (ETFs) received an unprecedented amount of inflow on October 29, totaling $870 million.
Leading the way was BlackRock’s iShares Bitcoin Trust (IBIT), which saw a record $643 million inflow, as reported by data from SoSo Value.
The daily trading volume for BlackRock’s Bitcoin ETF skyrocketed to $3.35 billion, reaching its highest level in over six months.
This surge in trading activity coincides with Bitcoin’s price rally, which peaked at $72,390 on October 29, coming within 2% of its all-time high.
According to Bloomberg ETF analyst Eric Balchunas, this increase in volume indicates a “FOMO” (fear of missing out) phenomenon, potentially driven by investors eager to take advantage of Bitcoin’s momentum.
In a post on X, Balchunas confirmed, “FOMO confirmed,” referring to data showing a significant daily inflow of $599.8 million for BlackRock’s ETF.
Balchunas observed that elevated volumes were seen across all major Bitcoin ETFs in the past two days, suggesting a widespread surge in investor interest.
He also speculated on the nature of the volume increase, questioning whether it resulted from high-frequency arbitrage trading or genuine speculative interest from new participants.
Balchunas stated that if these volumes continue, it could confirm the presence of FOMO-driven buying.
Meanwhile, Alex Thorn, the head of research at Galaxy Digital, noted that October 29 ranked as the third-highest day for Bitcoin ETF trading volumes since April 2024.
Among other Bitcoin ETFs, Grayscale Bitcoin Trust (GBTC) also experienced a significant inflow, with a trading volume of $390.32 million, second only to BlackRock’s IBIT.
The combined trading volume for all spot Bitcoin ETFs in the U.S. on October 29 reached $4.64 billion, with IBIT representing approximately 38% of that total.
The surge in trading volume highlights the strong liquidity in the Bitcoin ETF market, although it does not necessarily indicate new capital inflows.
However, IBIT has consistently attracted inflows over the past twelve days, totaling around $3.2 billion since October 10, according to Farside data.
With Bitcoin surpassing $70,000 on October 29 for the first time since June, the market is edging closer to its all-time high, generating excitement among investors.
Bitcoin Aims for New All-Time High
Analysts from Bitfinex suggest a “perfect storm” that could propel Bitcoin to a new all-time high in the coming weeks.
Fueled by the possibility of a Trump victory in the upcoming U.S. presidential election and favorable market conditions in the fourth quarter, Bitcoin appears to be poised for significant gains.
The analysts describe the current situation as unique, with the convergence of “election uncertainty, the ‘Trump trade’ narrative, and favorable Q4 seasonality” driving Bitcoin’s bullish momentum.
The report highlights a growing “Trump trade” narrative, noting that a Trump win is increasingly seen as beneficial for crypto assets, with many investors anticipating reduced regulatory pressures.
This sentiment has resulted in increased trading activity and greater confidence in the cryptocurrency market.
Currently, Trump is polling ahead of Vice President Kamala Harris by a significant margin on platforms like Polymarket, although national polls indicate a closer race.
The report concludes that if Bitcoin’s upward momentum persists, fueled by election dynamics and year-end positioning, the digital asset could soon surpass its previous all-time high of $73,800.
