BlackRock’s iShares Bitcoin Trust (IBIT) ETF made a huge splash on April 28, buying nearly $970 million worth of Bitcoin, marking its second-largest inflow to date. This follows a trend of significant inflows into Bitcoin ETFs, which are providing structural support for the cryptocurrency’s price growth. The latest activity has closely aligned with Bitcoin’s recovery above $94,000, driven largely by institutional rather than retail investor interest.
On April 28, BlackRock’s iShares Bitcoin Trust (IBIT) ETF made a significant move by purchasing nearly $970 million in Bitcoin, showing strong investment demand amidst a surge in inflows. This marks the ETF’s second-largest day of inflows since its inception in January 2024, only surpassed by a record $1.12 billion in BTC bought on November 7, 2024. Market analysts are suggesting that this level of inflows is providing solid structural support for Bitcoin’s price growth.
Following this latest acquisition, net inflows into US spot Bitcoin ETFs have topped $590 million, while other ETFs noted net negative flows or remained stagnant. Notably, ARK Invest’s ARKB ETF faced the biggest hit, recording outflows of $226 million. Nate Geraci, president of ETF Store advisory, noted the impressive milestone in an April 29 post, reflecting the changing sentiment around Bitcoin.
With over $54 billion in assets under management, BlackRock’s IBIT now commands a dominant 51% share in the spot Bitcoin ETF market, solidifying its position as the largest of its kind. Recent data ranked IBIT as the 33rd largest ETF globally, cutting across both cryptocurrency and traditional finance sectors.
Although retail investor engagement remains relatively low, analysts from Bitget Research mention that institutional inflows are powering Bitcoin’s recovery above the $94,000 mark. It’s worth mentioning that last week’s inflows into Bitcoin ETFs contributed to a remarkable turnaround in Bitcoin prices, which saw their strongest weekly gain since 2016.
Cumulative net inflows for US spot Bitcoin ETFs reached over $3 billion last week, marking the second-highest investment week since these ETFs were launched. Analyst Iliya Kalchev from Nexo highlighted the potential bullish trend ahead as ETF inflows create a supporting foundation for continued price increases. In the previous upswing that brought Bitcoin above $50,000 in February, ETFs accounted for an impressive 75% of the new investments in the cryptocurrency, indicating their critical role in Bitcoin market dynamics.
