Bitcoin exchange-traded funds saw a positive shift this week, attracting $2.73 billion in inflows, with analysts expecting even greater momentum as Bitcoin has managed to surpass $100k.
The 12 Bitcoin ETFs recorded positive inflows throughout the week, driven by optimism about a more crypto-friendly regulatory environment under President-elect Donald Trump, who recently appointed pro-crypto former federal regulator Paul Atkins as SEC chair, succeeding the anti-crypto Gary Gensler.
The highest inflows of the week, totaling $766 million, were recorded on Dec. 5, alongside a 50% surge in daily ETF trading volume, as Bitcoin soared past the elusive $100K mark to a new all-time high of $103,679—a milestone widely celebrated by the crypto community.
However, inflows into spot BTC ETF offerings dipped to $376.59 million on Friday, Dec. 6, as Bitcoin, the flagship crypto asset, dropped below $97,000, with the market experiencing liquidations exceeding half a billion dollars in a single day.
ETF inflows
Weekly inflows reached $2.73 billion, marking the second-best week for these investment vehicles, trailing only the record-setting week of Nov. 18-22, which saw an all-time high of $3.38 billion.
BlackRock’s IBIT, dominating inflows for the sixth consecutive day, led the lot with $257.03 million on Friday, Dec. 6, while only four out of the twelve funds managed to attract capital per data from SoSoValue.
Inflows into the remaining ETFs are as follows:
- Fidelity’s FBTC: $120.17 million.
- ARK and 21Shares’ ARKB: $24.9 million.
- Grayscale Bitcoin Mini Trust: $6.75 million.
Grayscale’s GBTC was the sole outlier of the day, recording outflows of $32.3 million and extending its streak to four out of five days of the week, with a total of $303.5 million exiting the fund. The remaining seven BTC ETFs saw zero flows.
Despite a late-week dip in inflows, U.S. Bitcoin ETFs have surpassed Satoshi Nakamoto’s holdings of 1.1 million tokens, amassing over 1.104 million tokens within a year of their launch.
Experts predict that U.S. institutional interest in Bitcoin through ETFs and corporate treasuries will keep growing, driving the broader digital asset ecosystem toward global adoption.
Hex Trust CEO Alessio Quaglini suggests this trend could ignite competition among nation-states to acquire Bitcoin. Similarly, Petr Kozyakov, co-founder and CEO of Mercuryo, told crypto.news that digital assets are evolving from speculative investments into transformative technology with widespread adoption.
Bitcoin might climb to $200K by 2025
Weekly inflows into Bitcoin ETFs also helped push Bitcoin beyond the $100,000 mark last week, with experts projecting even greater heights for the leading cryptocurrency.
In a recent note, Geoff Kendrick, the global head of digital assets research at Standard Chartered, predicted that Bitcoin could reach $200,000 by the end of 2025.
“We would turn even more bullish if BTC saw more rapid uptake by US retirement funds, global sovereign wealth funds (SWFs), or a potential US strategic reserve fund,” he added.
Similar projections have been made by analysts at Bitwise, citing increasing institutional demand and dwindling Bitcoin supply, amplified by the popularity of Bitcoin ETFs, as the key drivers.
Despite the bullish projections, some industry experts have urged caution.
Mike Novogratz, head of digital crypto bank Galaxy Digital, has warned of potential market corrections amid Bitcoin’s surge. According to him, a lot of market participants are “levered to the gills,” and as such, volatility is expected.
Chris Burniske, a partner at Placeholder, recently echoed similar concerns, urging investors to keep their expectations in check, pointing to the 2021 bull market as a cautionary tale.
“Bitcoin’s brief surge past $100,000 may not be sustainable in the short term,” Burniske explained, adding that inflated expectations in 2021 saw Bitcoin peak at $70,000 instead of the anticipated $100,000.
At the time of writing, Bitcoin (BTC) was just 0.4% away from reaching $100,000 once again. It was up 1.4% over the last 24 hours, trading at $99,580 at press time.
