BTC ETFs Struck Over $850M in Profits, Marking the Largest Surge Since March

Highlights:

• BTC ETFs struck over $850 million in net inflows to mark its highest-ever profitable day since March.
• IBIT continues its remarkable profit contributions with over $600 million in inflow input.
• Bloomberg analyst spotlighted FOMO as the main factor driving the remarkable Bitcoin ETFs trend.

With each passing day, Bitcoin (BTC) Exchange Traded Funds (ETFs) flow data tends to attain new heights. On October 29, the BTC commodities attracted significant cash flows worth roughly $870.02 million, according to SosoValue’s latest statistics. The over $850 million profits marked the entity’s highest-ever net inflows since March 12, when it witnessed a whopping $1.05 billion in gains.

Yesterday, the Spot #Bitcoin ETF saw $870.1M inflow! pic.twitter.com/tYEk9AM3x9

— Coinvo (@ByCoinvo) October 30, 2024

Aside from hitting a 7-month high, the latest accumulated gains imply that Bitcoin ETFs are on a five-day profitable streak. Within these five days, the entities have recorded values above $150 million. Meanwhile, this week’s ETF flow trend is booming after only two trading days.

Crypto2Community reported in its previous ETF news coverage that the BTC commodities witnessed gains of about $479.35 million. Hence, with the most recent value, it becomes evident that the commodities have attracted roughly $1.35 billion this week.

IBIT and FBTC Lead Bitcoin ETFs Inflow Surge with Over $100 Million Cash Inflows

Per SosoValue data, BlackRock Bitcoin ETF (IBIT) sustained its stellar market actions with a $642.87 million inflow contribution. Fidelity Bitcoin ETF (FBTC) also witnessed a remarkable profit surge worth about $133.86 million.

Apart from the two commodities above, four other entities witnessed profitable outings, while only one attracted outflows. The remaining four ETFs had zero flows. Meanwhile, the four other commodities that experienced inflows witnessed values above $10 million.

They include Bitwise Bitcoin ETF (BITB) with $52.49 million, Grayscale Mini Bitcoin ETF (BTC) with $29.2 million, VanEck Bitcoin ETF (HODL) with $16.52 million, and ARK 21Shares Bitcoin ETF (ARKB) with $12.39 million. The only outflows came from Grayscale Bitcoin ETF (GBTC), which experienced roughly $17.3 million in losses.

Considering the recent flow trend, Bitcoin ETFs’ cumulative net inflows skyrocketed, boasting a $23.28 billion valuation. Similarly, the total value traded and net assets saw significant increments. They are worth about $4.75 billion and $72.55 billion, respectively. The total net assets represent 5.07% of Bitcoin’s $1.43 trillion market capitalization.

FOMO is Driving Bitcoin ETFs’ Profitability Surge

In a series of tweets, Eric Balchunas, a senior ETF analyst at Bloomberg, highlighted several possible factors responsible for Bitcoin ETFs’ remarkable trends. In one of his posts, the analyst noted that IBIT traded $3.3 billion, its highest ever in a six-month interval. He added that such markedly increased volume seems odd, considering Bitcoin registered price increment amid the soaring volume.

Part of Eric’s tweet read thus: “Typically, ETF volume spikes in a downturn/crisis. Occasionally, the volume can spike if there is a “Fear of Missing Out” (FOMO) frenzy.” While the analyst suspected FOMO in his initial tweet, he was not quick to subscribe to the assertion.

$IBIT traded $3.3b today, biggest number in 6mo, which is a bit odd bc btc was up 4% (typically ETF volume spikes in a downturn/crisis). Occasionally tho volume can spike if there a FOMO-ing frenzy (a la $ARKK in 2020). Given the surge in price past few days, my guess is this is… pic.twitter.com/z44ZfggHVm

— Eric Balchunas (@EricBalchunas) October 29, 2024

Therefore, he encouraged followers to watch out for more significant inflows. In a different tweet, the analyst stated: “If this is a FOMO Frenzy, we will see it show up in the flows next few nights. If not, it is due to high-frequency arbitrage trading or something like that.”

In summary, Eric eventually concluded that FOMO was the driving force. He noted that he made the final inference based on only the October 28 activity. Meanwhile, the massive cash inflows recorded in the most recent data corroborate the analyst’s claims, which invariably implies good tidings for BTC.

Bitcoin’s Price Nears Its Peak Value

At the time of press, Bitcoin is changing hands at about $72,400, reflecting a 2.1% upswing in the past 24 hours. Within the same time frame, Bitcoin fluctuated between $70,863.71 and $73,562.33 as it attempted to reclaim its $73,737.94 all-time high value. Meanwhile, BTC’s 24-hour trading volume is up by 10.75% with a $52.30 billion valuation.