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Today, Bitcoin’s price has surged past the $67,000 mark, driven by a significant inflow of $222 million into U.S. Spot Bitcoin ETFs, indicating a bullish market sentiment.

Bitcoin’s Bullish Momentum

Bitcoin has seen a strong upward movement, briefly surpassing $67,000 in the last 24 hours as investors focus on the cryptocurrency. Market analysts attribute this rise to the substantial inflow into U.S. Spot Bitcoin ETFs. Let’s delve into the recent inflows recorded by these ETFs.

U.S. Bitcoin ETFs See $222M Inflow

Bitcoin’s price has gained considerable traction over the past year, with a 145% rally in the last 12 months. The approval of U.S. Spot Bitcoin ETFs has significantly boosted confidence in the cryptocurrency sector this year.

Despite recent volatility in Bitcoin trading, primarily due to fluctuating ETF fund flows, the situation has improved this week with significant inflows into these investment instruments.

Recent data from Farside Investors shows U.S. Spot Bitcoin ETFs recorded a combined inflow of $221.5 million. Fidelity’s FBTC led with an influx of $99.4 million, while Grayscale’s GBTC saw an inflow of $31.6 million, further boosting investor confidence.

The bitcoin ETFs have put together a solid two weeks with $1.3b in inflows, which offsets the entirety of the negative flows in April- putting them back around high water mark of +$12.3b net since launch. This key number IMO bc it nets out inflows and outflows (which are normal) pic.twitter.com/tdnZOKEocM

— Eric Balchunas (@EricBalchunas) May 17, 2024

Overall, this week saw an inflow of $948.3 million into these investment instruments, reflecting strong investor confidence in the crypto market.

Market Reaction and Price Increase

In a recent post, Bloomberg Senior ETF analyst Eric Balchunas highlighted the resilience of Bitcoin ETFs, noting significant inflows over the past two weeks. He pointed out that these inflows have offset the negative flows experienced in April, bringing the net value to approximately “+$12.3 billion” since their launch.

Balchunas stressed the importance of this figure, accounting for both inflows and outflows common in ETF trading. He advised against reacting emotionally to these fluctuations, asserting that the long-term prospects remain positive. Additionally, he noted that the Bitcoin ETF flow amounts, relative to assets under management (AUM), are relatively small, indicating market stability.

Amidst this, Bitcoin’s price increased by 1.35%, trading at $66,977.71, with a 15.50% drop in trading volume to $25.81 billion. The cryptocurrency reached a high of $67,459.46 in the last 24 hours and has seen a year-over-year gain of about 146%.