Rebound Alert: US Bitcoin ETF Interest Picks Up Speed In 2025

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As we move into 2025, there’s been a substantial rise in interest for Bitcoin ETFs in the U.S., marking a significant shift after a rather slow beginning to the year.

According to data from Glassnode, we saw approximately 17,567 Bitcoin (BTC) entering wallets during the week that ended on January 6. This inflow is roughly equivalent to a staggering $1.7 billion.

The rise we’re seeing exceeds the typical 15,900 Bitcoin inflows per week recorded during the last quarter of 2024, suggesting a renewed interest among investors.

A Turbulent Journey Of Inflows

Bitcoin ETF investments have displayed a volatile trend, with marked variations particularly toward the end of 2024. Notably, there was a substantial decrease in investment during September, coinciding with Bitcoin’s price dip below $64,000, causing mass withdrawals.

However, by October, things took a turn for the better. The influx of Bitcoin skyrocketed; within just a few weeks, it reached an impressive 24,000 BTC. With an average weekly inflow of approximately 15,900 BTC, this upward trend persisted through November and December, indicating a significant appetite for Bitcoin investments.

Following a sluggish beginning to the year, the demand for US spot Bitcoin ETFs has returned to normal levels. In the week commencing January 6th, inflows amounted to approximately 17,567 Bitcoins (equivalent to $1.7 billion), slightly surpassing the weekly average of around 15,900 Bitcoins ($1.35 billion) from October to December 2024.

— glassnode (@glassnode) January 13, 2025

With Bitcoin’s price skyrocketing to an unprecedented $108,135 in December 2024, investments flowing into Bitcoin ETFs also experienced a significant surge.

The shift towards exchange-traded funds appears to have boosted investor trust in Bitcoin’s value, fostering a favorable overall market outlook.

Bitcoin ETFs: Who Possesses The Most?

As of early January 2025, the combined Bitcoin holdings in U.S. spot ETFs amount to approximately 1.13 million Bitcoins. Among these, Grayscale holds around 204,300 BTC, Fidelity manages roughly 205,488 BTC, and BlackRock has the largest share with about 559,673 BTC.

2024 saw BlackRock’s Bitcoin ETF (IBIT) gain prominence as it amassed an impressive $37.25 billion in assets within its first year, placing it third on the annual Top 20 ETF Leaderboard. This substantial increase underscores the growing institutional appetite for investment vehicles linked to cryptocurrencies.


Will 2025 Be A Good Year For ETFs?

It seems that Bitcoin ETFs might thrive in the year 2025, according to industry experts. They anticipate a surge of fresh, groundbreaking products hitting the market this year.

Approximately 50 new Bitcoin Exchange-Traded Funds (ETFs) are expected to be introduced this year, as per Nate Geraci of the ETF Store. These will encompass a variety of investment strategies, including covered call ETFs and equity ETFs that track Bitcoin’s value directly.

Additionally, it’s speculated that Bitcoin spot ETFs might surpass traditional Gold ETFs in terms of total assets. If this happens, it would mark a significant milestone in the evolution of digital assets, positioning them as prominent players in the conventional investment landscape.

Making this alteration underscores an increasing trust in Bitcoin as a reliable form for storing value and investment, potentially overturning the traditional belief that gold is the superior safe-haven asset.

Exploring cryptocurrency ETF options by financial entities like Vanguard indicates a broader shift towards acknowledgment and integration of cryptocurrencies within traditional financial markets.

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2025-01-14 12:40