On Wednesday and Thursday, Bitcoin ETFs in the United States saw a strong return to inflows, coinciding with Bitcoin’s surge past $100,000. The move came after the release of the U.S. December Consumer Price Index data, which seemed to bolster bullish sentiment in the market. Over the two days, the 12 spot Bitcoin ETFs recorded a combined net inflow of $1.38 billion, breaking a four-day outflow streak that began the previous Thursday.
Wednesday’s numbers stood out, with a total of $755.01 million in net inflows, according to data from SoSoValue. Fidelity’s FBTC fund led the charge, bringing in $463.08 million — its highest single-day inflow since March 7 of last year. On Thursday, BlackRock reclaimed its usual spot at the top, adding $527.87 million to its ETF. Ark Invest also performed well, with $155.44 million flowing into its fund.
Bitcoin’s price movements mirrored this renewed interest in ETFs. The cryptocurrency was just less than two dollar shy of $102,000 on Thursday after crossing $100,000 a day earlier. At time of writing, Bitcoin was trading at $101,637, up 2.27% on the day and 8.37% compared to the previous week.
The price surge came in the wake of CPI data released earlier in the week. The report showed headline inflation rising 0.4% month-on-month and 2.9% annually, aligning with expectations. Core CPI, which excludes volatile items, rose 0.2% month-on-month but slowed slightly to a 3.2% annual increase, offering a positive signal for underlying inflation trends.
Adding to the market optimism, the incoming Trump administration is expected to take a more lenient approach toward cryptocurrency regulation. Reports indicate that the U.S. SEC may pause or withdraw certain enforcement actions, marking a sharp departure from the policies of outgoing Chair Gary Gensler.
With bullish sentiment building and ETF inflows rising, the start of the year suggests increasing confidence in the cryptocurrency market. It will be interesting to see if this momentum continues in the coming weeks.