The price of Bitcoin surpassed $112,000 in May following regulatory advances in the U.S. and Hong Kong. Net inflows into Bitcoin spot ETFs totaled $5.2 billion, the highest figure since November 2024. In the last two days of the month, outflows of $962 million were recorded, according to Binance Research.
Laws regarding stablecoins in the U.S. Senate and local regulations created a favorable environment for Bitcoin. This reinforced the 'winner takes all' dynamic in spot ETF products, with BlackRock dominating flows and Grayscale experiencing outflows of $320 million. Analysts warn about the reliance on a few issuers for the stability of the ETF market.
Trade tensions between the U.S., the U.K., and the EU generated volatility but did not interrupt Bitcoin's rise. Trading volume remained high with peaks before regulatory announcements.
