Bitcoin ETFs Experience Surge in Inflows Post Trump Inauguration

Bitcoin exchange-traded funds (ETFs) in the United States have witnessed a significant surge in inflows following President Donald Trump’s inauguration on Jan. 20. The spot Bitcoin ETFs have continued their positive streak, with BTC maintaining a price above $105,000.

Record Inflows and Trading Volume

Data from SoSoValue reveals that on Jan. 21, the 12 spot Bitcoin ETFs saw a total of $802.5 million in net inflows, extending their previous streak to four days. Over $3.2 billion has flowed into these funds during this period, indicating a strong investor interest in Bitcoin.

The majority of inflows on Jan. 21 were driven by BlackRock’s IBIT, which recorded $661.9 million entering the fund, leading in inflows for the third consecutive day. Grayscale’s mini Bitcoin Trust followed closely with an inflow of $136.39 million.

Other notable contributors to the positive momentum included ARK 21Shares’ ARKB, Fidelity’s FBTC, and Franklin Templeton’s EZBC, with more modest inflows ranging from $6.18 million to $8.51 million. However, Bitwise’s BITB saw an outflow of $17.41 million on the same day.

The total trading volume for the 12 Bitcoin ETFs reached $5.05 billion on Jan. 21, with total net inflows since launch amounting to $38.98 billion. While the inflows on Jan. 21 were substantial, they fell short of the $1.08 billion recorded the previous trading day.

Expert Insights on Trump’s Impact on Crypto Markets

Kadan Stadelmann, the Chief Technology Officer of Komodo Platform, weighed in on the potential effects of Trump’s presidency on the crypto markets. Stadelmann suggested that the initial optimism surrounding Trump’s election may fade as investors had already priced in anticipated policy changes well before his inauguration.

However, Stadelmann remains optimistic about a more crypto-friendly administration under Trump, as institutions continue to buy up Bitcoin ETFs in anticipation of policy changes. Despite delays in immediate crypto-related actions due to the administration’s focus on national challenges, Stadelmann believes that the future holds promise for the crypto markets.

Current Status of Bitcoin

As of the latest update, Bitcoin (BTC) is up 3.1%, trading at $105,708 per coin. Investors are closely monitoring the cryptocurrency market for further developments and potential fluctuations in BTC prices.