US Spot Bitcoin ETFs See Over $35B in Inflows in 2024, Ether ETFs Surge to $2.7B

Spot Bitcoin exchange-traded funds (ETFs) in the United States recorded a remarkable $35.66 billion in net inflows in 2024, significantly exceeding early industry projections.

Meanwhile, spot Ether ETFs ended the year on a high note, amassing $349.3 million in inflows during the last four trading days, pushing their total to $2.68 billion since their July 23 launch, according to Farside Investors.

BlackRock’s iShares Bitcoin Trust ETF (IBIT) led the market with $37.31 billion in inflows, followed by Fidelity’s Wise Origin Bitcoin Fund (FBTC) with $11.84 billion, and ARK’s 21Shares Bitcoin ETF (ARKB) with $2.49 billion.

Bitwise ETF Recorded Over $2 Billion in Inflows

Other significant contributors included the Bitwise Bitcoin ETF (BITB), which reported $2.19 billion in inflows.

These figures far surpassed Galaxy Digital’s initial $14 billion first-year estimate.

However, Bitcoin ETFs faced a slight downturn toward the year’s end, with $1.33 billion in outflows since Dec. 19.

Five of the last six trading days saw net outflows, with IBIT experiencing its largest single-day outflow of $188.7 million on Dec. 24.

Retail investors accounted for nearly 80% of the demand for spot Bitcoin ETFs, according to an October report from Binance.

Still, industry experts anticipate increased institutional participation in 2025 as more clearinghouses for spot Bitcoin ETF trading become operational.

Bitwise’s Chief Investment Officer, Matt Hougan, projects that this shift could push Bitcoin prices to $200,000 by 2025, with VanEck forecasting a more conservative $180,000.

2025 PREDICTION: Bitcoin, Ethereum, and Solana will hit new all-time highs.

Our price targets for each:

Bitcoin: $200,000
Ethereum: $7,000
Solana: $750

Note: Predictions are not guarantees and are not investment advice. pic.twitter.com/ZDRGbuJWIJ

— Bitwise (@BitwiseInvest) December 10, 2024

On the Ether ETF front, BlackRock’s iShares Ethereum Trust ETF (ETHA) and Fidelity Ethereum Fund (FETH) led inflows with $3.52 billion and $1.56 billion, respectively.

Grayscale’s low-fee Ethereum Mini Trust ETF (ETH) secured $608.1 million in inflows, while the Bitwise Ethereum ETF (ETHW) crossed $400 million.

Though Ether underperformed Bitcoin and Solana in 2024, analysts predict a rebound in 2025.

Factors such as Ethereum Layer 2 expansion, increasing spot Ether ETF flows, and the tokenization of real-world assets are expected to drive Ether’s price to a potential high of $7,000, according to Bitwise’s Ryan Rasmussen and Matt Hougan.

Digital Asset Investment Products Saw $308M Inflows Last Week

Digital asset investment products experienced net inflows of $308 million last week, though this figure conceals a significant single-day outflow of $576 million on December 19.

The week ended with a total outflow of $1 billion over its final two days, triggered largely by market reactions to the Federal Reserve’s hawkish dot plot announcement.

These movements led to a $17.7 billion reduction in total assets under management (AuM) for digital asset ETPs, marking a 0.37% decline in AuM.

While concerning, this outflow is modest compared to the largest single-day outflow of 2.3% in mid-2022, which followed an FOMC interest rate hike.

Bitcoin saw resilience with net inflows of $375 million for the week, while multi-asset investment products bore the brunt of the losses, shedding $121 million.

Ethereum continued its streak with $51 million in inflows, offset by Solana’s $8.7 million outflows.

Altcoins such as XRP, Horizen, and Polkadot saw smaller but notable inflows.