Bitcoin and Ethereum ETFs Surge After U.S. Election; BlackRock Takes the Lead

The cryptocurrency market is buzzing as Bitcoin skyrockets to a new all-time high, reaching $77,230 from $67,849 in just a week. This surge has been driven by increased excitement surrounding the U.S. presidential election, with the pro-crypto candidate Donald Trump taking the win. This political shift has sparked a wave of institutional interest in digital assets like Bitcoin and Ethereum, bringing record inflows into cryptocurrency ETFs. But what’s driving this renewed activity, and how are investors responding?

Record-Breaking Bitcoin ETF Activity

Bitcoin ETFs have seen some of the highest trading activity in recent history. During the election uncertainty on November 4, Bitcoin ETFs witnessed the second-largest outflow on record, with investors pulling $541 million. Just two days later, following Trump’s projected lead, confidence returned, and Bitcoin ETFs saw a dramatic inflow of $621.9 million.

The upward trend continued on November 7, when Bitcoin ETFs saw their largest-ever inflow of $1.378 billion, underscoring a rapid rebound in market sentiment.

BlackRock Leads the Charge

Driving much of this renewed confidence is BlackRock, one of the world’s largest investment firms. On November 7, BlackRock’s Bitcoin ETF (IBIT) added 16,254 BTC, valued at approximately $1.25 billion. This move boosted BlackRock’s total Bitcoin holdings to nearly 450,000 BTC, worth a staggering $34.4 billion—more than the entire global value of gold.

BlackRock’s substantial investment has given Bitcoin’s reputation as a digital asset a powerful endorsement, reassuring investors in the face of economic and political uncertainty.

Ethereum Joins the Rally

Ethereum ETFs have mirrored Bitcoin’s upward trend. On November 4, Ethereum ETFs recorded an outflow of $63.2 million. However, by November 7 and 8, Ethereum ETFs had significant inflows, marking their third- and fourth-largest inflows ever.

On November 7, Ethereum ETFs saw an inflow of $79.7 million, followed by $85.9 million the next day. Leading this trend was BlackRock’s Ether ETF, which posted its highest daily inflow in over three months, with $60.3 million added in a single day.

Ethereum Tests Key Price Levels

Ethereum’s price is currently hovering around $3,031, marking a 21% increase over the past week and placing its market cap at $365 billion. The price is testing the 100-day Simple Moving Average (SMA) near $3,000, a crucial resistance level. If Ethereum breaks above this mark, it could push toward the next resistance at $3,366, setting the stage for a rally toward $4,000.

A Bright Outlook for Cryptocurrency?

With institutional interest and favorable market conditions, the future looks promising for cryptocurrency. Stay tuned as we follow this evolving story and keep you updated on the latest market developments.