BlackRock's Bitcoin ETF Surpasses 700,000 BTC, Positively Impacting the Market

BlackRock's iShares Bitcoin Trust (#IBIT ) has broken the barrier of 700,000 BTC just after a year and a half since its launch, with assets under management reaching nearly $75.6 billion. This makes IBIT the third most profitable fund by revenue for BlackRock, surpassing even long-established funds like iShares Core S&P 500 ETF and iShares Russell 2000 ETF.

Strong Capital Inflows and Impact on Volatility

IBIT is experiencing strong capital inflows, attracting $52.8 million in the past two weeks, far exceeding other U.S. funds (#ETFbitcoin ). The popularity of ETFs like IBIT is helping to reduce Bitcoin's volatility compared to previous cycles, as the ETF's investor base mainly consists of long-term buyers and holders.

Analysts predict this trend will continue into the summer, causing some traders to shift towards speculation on crypto-related stocks like Metaplanet or Circle.