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Bitcoin ETFs See Record Inflows Following Jackson Hole Symposium
Discover how Bitcoin ETFs are experiencing unprecedented inflows following the Jackson Hole Symposium, as investors react to economic insights and market trends. Stay updated on the evolving landscape of cryptocurrency investments.
Bitcoin ETFs Experience Surge in Inflows Following Jackson Hole Symposium
In a remarkable turn of events, U.S.-listed spot bitcoin (BTC) exchange-traded funds (ETFs) witnessed a significant influx of over $252 million in daily net inflows on Friday. This marks the highest level of inflows since July 23, driven by optimistic remarks at the Jackson Hole symposium that positively influenced various risk assets, including bitcoin.
According to SoSoValue data, trading volumes for the eleven ETFs soared to $3.12 billion, reaching their peak since July 19. Leading the charge was BlackRock’s IBIT, which dominated both trading activity and inflows, amassing $1.2 billion in trading volume and $83 million in net inflows. Following closely was Fidelity’s FBTC, which reported $64 million in inflows, while Bitwise’s BITB attracted $42 million, crossing the significant milestone of $2 billion in assets under management (AUM) for the first time. Conversely, Grayscale’s GBTC experienced net outflows of $35 million, although its mini bitcoin fund, BTC, saw a positive shift with $50 million in inflows.
During the Jackson Hole symposium, Federal Reserve Chair Jerome Powell hinted at the potential for a shift in monetary policy, stating that the public agency is poised to loosen its stance. Following his remarks, bitcoin’s price surged above $64,000. “The time has come for policy to adjust,” Powell declared. “The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook, and the balance of risks.”
Market participants and crypto traders are widely anticipating that the Federal Reserve will implement its first rate cut during its upcoming policy meeting scheduled for September 17. Historically, tighter monetary policies have dampened risk appetite in financial markets, while lower interest rates enhance the appeal of asset classes such as cryptocurrencies, as they provide investors with cheaper access to capital.