Record-Breaking $893M Inflow for Bitcoin Spot ETFs as U.S. Election Nears

Market analysts attribute the massive inflow to a mix of favorable market conditions and a volatile political climate. With the U.S. presidential election looming on November 5, investors are increasingly viewing Bitcoin as a hedge against potential policy shifts and economic turbulence.

Eric Balchunas (@ericbalchunas)
“Pretty apropos that the biggest daily inflow ever for $IBIT is what pushed U.S. spot ETFs over the 1 million bitcoin held mark.”

Positive Flows Across Multiple Funds Despite Outliers

BlackRock’s IBIT wasn’t the only ETF to see gains. Fidelity’s FBTC added $12.57 million, while Ark Invest’s ARKB, VanEck’s HODL, and Invesco’s BTCO each reported smaller inflows under $8 million.

However, Bitwise’s BITB experienced a net outflow of $23.89 million, and Grayscale’s GBTC recorded no net change, indicating mixed investor sentiment across the ETF landscape.

Despite a dip in total trading volume—from $4.75 billion the day before to $1.97 billion—these inflows have pushed U.S. Bitcoin ETFs’ cumulative 2024 inflows to $24.18 billion, a striking indicator of sustained demand for digital assets.

Key Figures:

• $893.21 million total net inflows for U.S. Bitcoin ETFs.

• $872 million from BlackRock’s IBIT alone.

• $24.18 billion cumulative inflows in 2024.

Election Uncertainty and Bitcoin’s Growing Appeal

With an uncertain political landscape, many investors are turning to Bitcoin ETFs as a safeguard. Polling data shows a tight race between former President Donald Trump and Vice President Kamala Harris, adding to market anxiety.

Bitcoin’s decentralized appeal is particularly attractive as a potential hedge against economic disruptions.

Bitcoin’s current price of $72,300, slightly down by 0.28% from the previous day, reflects this ongoing market enthusiasm.

Bloomberg’s Senior ETF Analyst Eric Balchunas noted that IBIT’s inflows have likely pushed the total Bitcoin holdings across U.S. spot ETFs past 1 million BTC.

By the end of November, Balchunas suggests that these ETFs could surpass the estimated 1.1 million BTC owned by Bitcoin’s creator, Satoshi Nakamoto.

Eric Balchunas (@ericbalchunas)
“Historic milestone for U.S. Bitcoin spot ETFs. By month-end, they may surpass Satoshi’s holdings!”

The consistent inflows underline Bitcoin’s role as a preferred asset amid global financial uncertainties.