Bitcoin exchange-traded funds (ETFs) have amassed over one million BTC in less than a year since their launch, signaling strong investor demand for the digital asset. Crypto analyst Ali Martinez revealed that cumulative BTC holdings in Bitcoin ETFs have surpassed this milestone, as illustrated by a recent chart shared on social media platform X.
After considerable deliberation, the US Securities and Exchange Commission (SEC) gave the green light to spot Bitcoin ETFs earlier this January. The approval has proven to be an overwhelming success. To date, Bitcoin ETFs have recorded a net inflow of $24.15 billion, with the total value of BTC held by these ETFs estimated at around $70 billion.
From a price standpoint, Bitcoin has surged from approximately $41,900 on January 8 to its current price of $68,941, marking an impressive increase of nearly 65%. During this period, Bitcoin reached an all-time high of $73,737 in March. The achievement of over one million BTC now held in Bitcoin ETFs represents roughly 5% of the total 21 million BTC supply, bolstering Bitcoin’s scarcity narrative.
In the competitive ETF market, BlackRock’s IBIT spot BTC ETF leads with approximately $30 billion in net assets, followed by Grayscale’s GBTC with $15.22 billion, and Fidelity’s FBTC with $10.47 billion. A recent report by CoinShares highlighted the growing interest in Bitcoin ETFs, noting that digital asset investment products garnered over $2.2 billion in inflows last week.
CoinShares attributed the recent surge in crypto product inflows to the potential for a Republican victory in the upcoming US presidential election on November 5. Early in the week, higher inflows were recorded, while outflows emerged toward the end, coinciding with Democratic candidate Kamala Harris’s improving chances of winning.
At the time of writing, decentralized prediction markets platform Polymarket indicates Harris has a 41.6% chance of winning the presidency, while Republican candidate Donald Trump remains the favorite with a 58.5% chance.
Experts suggest a Trump victory could benefit Bitcoin and other digital assets. Earlier this month, JPMorgan noted that retail investors increasingly view Bitcoin as a hedge against inflation, anticipating a Trump victory could further boost BTC’s value. Meanwhile, Kamala Harris, currently Biden’s vice president, is reportedly adopting a new approach to digital assets, contrasting with the current administration’s cautious stance. Whether this will endear her to crypto-focused voters remains uncertain.
Bitcoin is currently trading at $68,941, up 0.8% in the past 24 hours, with Bitcoin dominance standing at 56.7% according to CoinGecko data.
