BlackRock’s Bitcoin ETF Breaks Inflow Record

BlackRock’s iShares Bitcoin Trust (IBIT) broke its daily inflow record on Thursday, pulling in $1.12 billion as demand surges for U.S. spot Bitcoin exchange-traded funds. This milestone tops its prior record set just days earlier on October 30, which saw $872 million in inflows, according to SoSoValue data.

As the world’s largest asset manager, BlackRock has seen IBIT rapidly rise in prominence among its ten other competing Bitcoin ETFs. The fund’s net assets have surged to $34.2 billion, largely driven by Bitcoin’s recent value hike, with the asset setting new highs above $76,870.

Pav Hundal, lead market analyst at Swyftx, described the current market conditions as “ideal,” adding, “Capital is everywhere, and it’s flooding into ETFs at an extraordinary velocity.” The convergence of “monetary easing, political certainty, and robust U.S. data” has created what he called a “goldilocks scenario” for risk assets like Bitcoin.

Bitcoin Demand Outpaces Supply as ETF Interest Grows

Interest in Bitcoin ETFs is now driving demand at a pace that surpasses Bitcoin’s creation rate, at “two to one,” Hundal said, suggesting that this acceleration could soon fuel a broad-based crypto rally.

Investor enthusiasm is especially notable following the election of Donald Trump, who secured a second term as president earlier this week. His administration’s pro-crypto stance, including promises to establish a Bitcoin reserve and protect crypto mining, has contributed to positive market sentiment.

IBIT Outshines Competitors in Bitcoin ETF Space

BlackRock’s IBIT has quickly cemented its position at the forefront of Bitcoin ETFs. With a 0.25% fee, currently waived until January, the fund’s relatively low cost makes it attractive compared to Grayscale’s GBTC, which charges a higher 1.5% fee. Fidelity’s FBTC, also charging 0.25%, had a similar waiver that ended in July.

As the fund continues to see robust inflows, Wednesday’s record trading volume of $4 billion highlights the rising investor appetite, surpassing all other ETFs, including Fidelity’s FBTC.

With these record-setting inflows and a favorable policy outlook, BlackRock’s IBIT may remain a key vehicle for institutional investment in Bitcoin, as sentiment shifts further in favor of digital assets.