The world’s first cryptocurrency, Bitcoin, continues to demonstrate increased acceptance among institutions, as evidenced by the significant milestone achieved by US spot Bitcoin exchange-traded funds (ETFs). As of Jan. 30, these ETFs collectively surpassed $125 billion in holdings, representing over 6.05% of the current Bitcoin supply, according to data from Dune.
This impressive landmark comes slightly more than a year after the inaugural trading of spot Bitcoin ETFs on Jan. 11, 2024. From Jan. 1 to 24 alone, these ETFs experienced a cash influx of $4.2 billion, accounting for over 6% of all ETF inflows, as per Bloomberg’s senior ETF analyst, Eric Balchunas.
ETF investments significantly contributed to Bitcoin’s 2024 price surge, accounting for approximately 75% of new investments when Bitcoin regained its $50,000 value on Feb. 15, less than a month after the ETFs’ introduction.
BlackRock, the world’s largest asset manager, boasts the most substantial Bitcoin ETF in terms of assets under management, valued at over $58 billion. This fund holds more than 46.4% of the market share among all US Bitcoin ETFs and has now risen to become the 31st-largest ETF globally, including both crypto and traditional finance products, as per data from VettaFi.
On Jan. 30 alone, BlackRock’s ETF added over $321 million worth of Bitcoin, representing over 54% of the day’s cumulative net inflows of $588 million, as shown by Farside Investors data.
Despite potential short-term declines to $96,000, many analysts remain optimistic about Bitcoin’s trajectory for the rest of 2025. The rising milestones of Bitcoin ETFs and the growth of BlackRock’s fund may push Bitcoin to reach $200,000 during 2025, according to Bitget Research’s chief analyst, Ryan Lee.
Nevertheless, Bitcoin’s value remains susceptible to economic developments, and any further delays in a potential US Federal Reserve interest rate cut could exert downward pressure.
