Monthly inflows into U.S. spot Bitcoin ETFs are expected to set a record!

JIN10
2024.11.29 06:26
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The U.S. spot Bitcoin ETF is about to see record monthly net inflows, as Trump's support for cryptocurrencies has led Bitcoin prices to historically reach $99,588. Bloomberg data shows that ETFs such as BlackRock and Fidelity Investments have attracted $6.2 billion in funds. Bitcoin has more than doubled this year, outperforming global stocks and gold. Trump is expected to appoint a pro-digital asset SEC head, potentially paving the way for ETFs of other tokens. Bitcoin and Ethereum have surged significantly recently

Due to Trump's support for cryptocurrencies, Bitcoin has historically reached $99,588 per coin, with 12 U.S. spot Bitcoin ETFs set to welcome record monthly net inflows.

Data compiled by Bloomberg shows that as of November, ETFs from issuers such as BlackRock and Fidelity Investments have attracted $6.2 billion in funds. The previous peak inflow of $6 billion was reached in February of this year, when investors were excited about these products launched at the beginning of the year.

A week ago, Bitcoin came close to the milestone $100,000 level, just about $300 short, due to Trump's promise to abolish the Biden administration's crackdown on Bitcoin and to establish a friendly regulatory body. Trump also supports the establishment of a strategic reserve for cryptocurrencies in the U.S.

Investors flock to spot Bitcoin ETFs

Bitcoin has more than doubled this year, outperforming global stocks and assets like gold. This week, Bitcoin's momentum has slowed, with smaller coins like Cardano and XRP trading within a narrow range.

The outgoing chairman of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, reluctantly allowed U.S. spot Bitcoin ETFs to list in January following a court ruling in 2023. The agency later also greenlit a portfolio for Ethereum, the second-largest digital asset.

Gensler has been a critic of the volatility and scandals in the cryptocurrency industry. He will be leaving the SEC, and Trump is expected to appoint someone supportive of digital assets as the head of the SEC, which could pave the way for ETFs of other tokens.

According to insiders, Trump's transition team has interviewed veteran financial regulator Paul Atkins, a conservative financial figure, as a candidate to lead the SEC. Sources say Trump is expected to make a choice in the coming days, but no decision has been made yet.

Following the news, Bitcoin surged 6% on Wednesday, while Ethereum jumped over 10% during the day.

Atkins served as a Republican commissioner at the SEC during the George W. Bush administration and later founded Patomak Global Partners, a consulting firm serving major clients in the financial industry. He is a strong supporter of digital assets and fintech companies. He has also testified before Congress on how to restructure the agency's operations and reduce regulations that some industry participants consider redundant or overly cumbersome.

Trump himself was previously a skeptic of the industry, but his stance changed after the industry invested heavily to promote its interests during his campaign

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