Bitcoin ETFs saw unprecedented inflows this week, removing 17,000 BTC from circulation as demand surges. BlackRock, Ark Invest, and Fidelity led the charge, boosting institutional participation and driving Bitcoin’s price upward.

Demand for the spot Bitcoin ETF has surged since the Fed dropped rates, and it's only getting higher as daily inflows and trade volumes keep going up.

Bitcoin ETF Demand Surges with Fed Rate Drop

This demonstrates that regulated ETF products have acquired almost 17,009 BTCs this week alone, in the face of enormous demand. Coingape explains that this shows that BTC ETFs have considerable institutional involvement.

Institutional Involvement Drives Massive Bitcoin ETF Inflows

With almost $203 million in inflows on Friday, Ark Invest’s ARKB maintained its dominance for the second day in a row. According to the data provided by Farside Investors, Fidelity's FBTC received $123 million in inflows, while BlackRock's IBIT received $111.7 million, placing it third. On Friday, just these three individuals removed 6,661 Bitcoins from circulation.

BlackRock, Ark Invest Lead Bitcoin ETF Buying Frenzy

The demand for Bitcoin ETFs is astronomical, especially when weighed against the daily creation of 450 Bitcoins. This week, exchange-traded funds snatched 17,000 Bitcoins, and MicroStrategy stole 7,000 Bitcoins on its own.

Because of this, the Bitcoin price has been going through some serious ups and downs recently, increasing by 5%. With a market worth of $1.305 trillion, the price of Bitcoin is currently trading at $66,071.29, up 1.16%, as of press time. This increase is a result of investors getting ready for the anticipated bull run in the fourth quarter of 2024.

Bitcoin Prices Rise Amid ETF and Institutional Buying

A major boon to the cryptocurrency market has been the recent purchasing frenzy by BlackRock, the biggest asset manager in the world. As a long-term asset and protection against increasing inflationary pressures, it is definitely considering Bitcoin.

According to the most recent SEC filing, the asset management increased the number of shares it bought for its global allocation fund by adding more of its spot Bitcoin ETF (IBIT). The amount of Bitcoin held by BlackRock's in-house funds is growing at a steady rate. Firm reported 198,874 shares of IBIT as of July 31, up considerably from 43,000 shares in June, in Friday's portfolio filing for its Global Allocation Fund.

BlackRock Grows Bitcoin ETF Holdings, Eyes Bull Market

The BlackRock Bitcoin Exchange-Traded Fund (ETF) has dominated the market with over $21.3 billion in inflows in the nine months since its launch.