Institutional Investors Flood Bitcoin and Ethereum ETFs with Over $2 Billion
Institutional investors have been buying up Bitcoin and Ethereum exchange-traded funds (ETFs) in large numbers, sending over $2 billion into spot BTC ETFs and nearly $700 million into their ETH counterparts.
The influx of capital began on Monday with $300 million in net inflows and picked up pace after the US Treasury Department announced it would double the maximum size of liquidity-support buybacks for longer-dated government debt, raising them from $2 billion to at least $4 billion per operation.
Wednesday's announcement sent spot Bitcoin ETF inflows soaring to $517 million on that day alone and exceeding $606 million on Thursday, the best single-day performance since May 1. By Friday, an additional $307.45 million had entered the funds, bringing the total to $1.92 billion.
The cumulative total net inflows have rocketed from under $51.8 billion at the end of the previous week to over $53.7 billion on August 21.