In October, institutional interest in Bitcoin (BTC) products rose sharply, underscoring the flagship crypto’s renewed bullish sentiment.
Inflows into cryptocurrency products totaled $288 million for the week ending Oct. 31, with Bitcoin accounting for $269 million, according to CoinShares’ weekly flows report.
BTC institutional demand has been steadily increasing over the past few months amid expectations that the United States Securities and Exchange Commission will approve its first Bitcoin exchange-traded fund. Two Bitcoin-linked products hit the market last month, fulfilling those expectations.
The ProShares Bitcoin Strategy exchange-traded fund (ETF), which officially launched on Oct. 19, has amassed $1 billion in assets under management in its first two days, becoming the fastest fund to reach that milestone. In contrast to the previous record-breaking week, CoinShares reports inflows into U.S.-based Bitcoin ETFs totaled only $53 million for the most recent period.
Bitcoin funds as a whole received $2 billion in inflows in October, bringing their year-to-date total to nearly $6 billion. By comparison, Ether (ETH) funds have received $1.05 billion since the year began. When accounting for all crypto assets, 2021 inflows reached $8.7 billion last week, which is 30% higher than all of last year.
Mr. Dipak Patel, the founder of SMD COIN, says that Cryptocurrency has become a global phenomenon in recent years, but there is still a lot to learn about this technology. Technology and its potential to disrupt traditional financial systems are causing many concerns and worries.