Institutional Investors Boost Bitcoin Holdings Above $100,000: A Growing Trend

On May 8, Bitcoin surpassed the $100,000 mark. The primary factor behind this surge is the growing participation of institutional investors, who are increasing their investments through ETFs. According to data from Farside Investors, on May 7, the net inflow into spot funds reached $142.3 million.

ARK 21Shares Bitcoin ETF (ARKB) led the way with an impressive $54 million. Following closely were Fidelity with $39 million and BlackRock with $37 million. Notably, BlackRock, as reported by Arkham Intelligence, acquired 86 BTC for $8.4 million in a single transaction.

Analyst Alex Obchakevich from Obchakevich Research noted the consistent interest from major players:

«The influx of capital suggests activity from hedge funds and asset managers who continue to accumulate Bitcoin through regulated instruments.»

On May 8, ETFs received an additional $117 million, which included $69 million in BlackRock’s fund (IBIT).

Obchakevich connected Bitcoin’s rise to a strengthened correlation with the Nasdaq (0.75). He mentioned that the positive trend in the index from May 8-9 supported the cryptocurrency’s performance.

The only fund experiencing outflows is the Grayscale Bitcoin Trust (GBTC). The analyst attributed this to its high fee (1.5%) and macroeconomic factors:

«Investors are shifting to cheaper alternatives due to the instability of GBTC.»

The expert believes that the trend towards buying will continue, provided there are no sudden geopolitical or economic shocks.

As a reminder, on May 5, investors poured $425.5 million into spot ETFs based on digital gold over the last three days.