16 May

Inflows into spot Bitcoin exchange-traded funds (ETFs) surged to a two-week peak as the cryptocurrency experienced a 7% surge following the release of significant US inflation data.

On May 15, inflows for spot Bitcoin ETFs in the United States reached $303 million amid a notable increase in BTC prices. 

This marked the highest level of inflows since May 3, as institutional investors turned bullish following the release of US Consumer Price Index (CPI) data that met expectations.

Fidelity led the way with its FBTC fund witnessing $131 million in inflows for the day, its highest since March 26. Bitwise's BITB fund also experienced a strong influx of $86 million, the highest since March 4.

BlackRock's IBIT fund, however, reported zero flows for the third consecutive trading day, a trend deemed normal for a fund of this nature by experts.

Even Grayscale's GBTC saw an inflow of $27 million, marking a reversal from four months of outflows. Additionally, recent filings with the US Securities and Exchange Commission revealed that Millennium Management, one of the world's largest hedge funds, holds a significant $2 billion spot Bitcoin ETF portfolio.

Prominent ETF analysts noted the surge in institutional interest, with James Seyffart remarking, "It's only retail traders buying the Bitcoin ETFs."

The portfolio includes holdings in BlackRock's IBIT, Fidelity's FBTC, Grayscale's GBTC, Ark's ARKB, and Bitwise's BITB. Millennium now holds the largest stake in IBIT and FBTC.

BTC's price surged to $66,567 during early Asia trading on Thursday, following a 15% gain over the past two weeks, bringing it within 10% of its all-time high. Crypto markets reacted positively to the April CPI data in the US, which was lower than expected, increasing the likelihood of the Federal Reserve implementing measures to stimulate markets, benefiting high-risk assets like cryptocurrencies.

May 2024, Cryptoniteuae

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