Graphics: wirestock-Freepik.com
Bitcoin has been on the rise since Trump’s election because he expressed his support for crypto during the election campaign and because recent reports show that the US Securities and Exchange Commission is apparently being reorganized accordingly. Now data on money flows shows how heavily investors have recently invested in Bitcoin ETFs. This BTC Chart shows the price trend since September. We have marked the moment of the Trump election. Since then it has increased rapidly from under $70,000 to almost $100,000. After a recent setback to $91,200, the Bitcoin price is currently back at $95,892.
Bitcoin ETF in the USA with massive inflows
A group of a dozen U.S. Bitcoin exchange-traded funds (ETFs) are poised for record monthly net inflows, boosted by a historic surge toward $100,000 on President-elect Donald Trump’s enthusiasm for cryptocurrencies. ETFs from issuers including BlackRock and Fidelity Investments have attracted $6.2 billion so far in Novemberdata from Bloomberg shows. The previous high of $6 billion was reached in February as investors became euphoric over the launch of the products earlier in the year.
A week ago, the Bitcoin price was just $300 below the $100,000 mark for the first time, buoyed by Trump’s promise to halt the Biden administration’s crackdown on cryptocurrencies and instead introduce benevolent regulation. The Republican has also advocated for the creation of a strategic U.S. supply of the original cryptocurrency.
“We will continue to see inflows into ETFs, particularly under a Trump administration where it should be easier for companies and pension funds to own these assets,” said Josh Gilbert, market analyst at eToro. Bitcoin’s rally weakened this week, leaving the token standing at around $96,400 as of 5:48 a.m. in London on Friday. Smaller coins like Cardano and Solana were trading in tight ranges. Bitcoin has more than doubled this year, outperforming assets such as global stocks and gold.
The U.S. Securities and Exchange Commission under outgoing Chairman Gary Gensler reluctantly allowed the launch of U.S. spot Bitcoin ETFs in January after a court reversed a decision in 2023. The authority later also gave the green light to portfolios investing in the second most important digital asset, Ether.
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Gensler, a critic of the volatile and scandal-ridden crypto industry, is resigning from his position at the SEC. Trump is expected to appoint a digital asset proponent to head the agency, which could potentially pave the way for ETFs for other tokens. Trump himself was previously a skeptic of the industry, but changed his mind when the sector invested huge sums to advance his interests during the election campaign.
FMW/Bloomberg
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