U.S. Bitcoin exchange-traded funds (ETFs) registered a substantial $1.2 billion net inflow on Monday, marking the seventh occurrence where inflows have surpassed the $1 billion threshold, as reported by Farside data. BlackRock's iShares Bitcoin Trust (IBIT) dominated these inflows, attracting $970 million.
Historical data indicates that Bitcoin ETF inflows reaching approximately $1 billion have frequently coincided with short-term price peaks for Bitcoin (BTC).
The initial instance was recorded on March 12, 2024, with Bitcoin's price peaking near $74,000 just two days later. Subsequent events in November 2024 saw Bitcoin surge above $100,000, with significant inflows preceding the rally's conclusion in December. Another $1 billion inflow on January 17 preceded a local top around $109,000 on January 20. Similarly, consecutive $1 billion inflows on July 10 and 11 were followed by a short-term peak of $123,000 on July 14.
Following Monday's inflows, Bitcoin's price climbed above $126,000. With the current price around $124,000, market observers are watching to see if a new local high will form in the coming days.
In related developments, Senior Bloomberg ETF Analyst Eric Balchunas reported that IBIT has become BlackRock's most profitable ETF. With assets under management (AUM) nearing $100 billion, IBIT generates an estimated $244.5 million in annual revenue, surpassing the iShares Russell 1000 Growth ETF. Balchunas also highlighted that IBIT is approaching the $100 billion AUM milestone in just 435 days, significantly faster than the Vanguard S&P 500 ETF (VOO), which took 2,011 days to achieve this.