Bitcoin exchange-traded funds have continued their winning streak, attracting billions of dollars in new investment over the past week.
U.S. investors have thrown $2.56 billion since last Monday, according to Farside Investors data, helping push the leading cryptocurrency’s price higher.
And this week alone, nearly $652 million in fresh cash has hit the products managed by the likes of BlackRock, Morgan Stanley, and Fidelity.
Bitcoin was recently trading for $78,302 after jumping nearly 25% over a seven-day period. The coin touched as high as $81,160 on Monday.
Bitcoin’s rise comes after a sluggish June and July when it mostly traded below $65,000.
The cryptocurrency has benefited from news that the Treasury would at least double the size of its liquidity-support buyback operations. The announcement last week hurt the dollar but non-yielding assets like Bitcoin and gold have benefited.
Bloomberg Intelligence ETF Analyst Eric Balchunas wrote on X Wednesday that the debasement trade was back.
“Gold and Bitcoin ETFs have combined for +$7b in flows in past week, by far a record for a 5-day period as debasement trade steals spotlight from AI,” he said.
The debasement trade is when investors buy an asset to hedge against a currency losing value. Investments like Bitcoin and precious metals have done well as part of the trade as they cannot be endlessly printed.
Investors now are fretting over U.S. borrowing, a weak dollar and efforts to contain long-term yields.
Bitcoin ETFs had their best week since October last week, with nearly $2 billion in inflows.
Positive regulatory coming out of the White House has also spurred the flurry of trading activity. President Donald Trump held a meeting with crypto executives earlier last week before urging lawmakers to get the long-awaited crypto Clarity Act over the line.
Be the first to comment