TLDR
BlackRock invested over $300 million in Bitcoin, highlighting strong institutional interest despite market fluctuations.
The firm’s Bitcoin ETF, IBIT, saw net inflows of $324.3 million between October 20 and 24.
BlackRock’s strategic buying helped maintain Bitcoin’s price above the critical $100,000 level.
Institutional demand for Bitcoin remains solid, with analysts projecting a $200,000 target for the cryptocurrency in Q4.
The sustained inflows from BlackRock offset fluctuations in the broader Bitcoin ETF market, boosting investor confidence.
BlackRock accelerated its cryptocurrency buying spree this week, acquiring more than $300 million in Bitcoin (BTC). The firm’s Bitcoin ETF, IBIT, saw net inflows of $324.3 million from October 20 to 24. This marks a significant signal of strong institutional demand for Bitcoin, despite recent market fluctuations.
BlackRock’s Inflows Surge Despite Market Volatility
BlackRock’s Bitcoin ETF, IBIT, experienced fluctuating inflows, with a noticeable upward trend. On October 20, the firm saw a net outflow of $100.7 million, driven by slight weakness in Bitcoin’s price. However, investor sentiment quickly reversed, and inflows surged to $210.9 million by October 21, signaling a strong market rebound.
The upward momentum continued throughout the week. BlackRock added another $73.6 million on October 22 and a further $107.8 million on October 23. As a result, institutional accumulation resumed, helping to stabilize market sentiment despite fluctuations in overall Bitcoin ETF flows.
By October 24, inflows slowed to $32.7 million, but the overall trend remained positive. BlackRock’s consistent buying helped keep Bitcoin’s price above the critical $100,000 mark. This buying spree came as a reassurance to investors amid market uncertainty.
Institutional Buying Boosts Bitcoin’s Price Stability
BlackRock’s sustained capital injection played a key role in stabilizing Bitcoin’s price. As a result, Bitcoin managed to remain above $110,000 after a sharp decline in early October. Analysts attribute the price stability to strong institutional interest, particularly from firms like BlackRock.
Despite the volatile market conditions, long-term demand for Bitcoin remains strong. Tiger Research, for instance, projects a $200,000 price target for Bitcoin in Q4, bolstered by continued institutional buying. In addition, Bitcoin’s supply dynamics show a structural demand, with “dolphins” (wallets holding 100 to 1,000 BTC) now holding 26% of the total supply.
Currently, Bitcoin price is trading at $111,702, up 0.6% in the last 24 hours. BlackRock’s strategy to accumulate Bitcoin continues to signal growing institutional confidence in the digital asset.
