- Big institutions are fueling growth of Bitcoin ETFs.
- Experts believe Bitcoin could reach $200,000 in value.
Bitcoin ETFs are showing positive movement after a stagnant September.
Investment vehicles tied to the leading cryptocurrency have attracted $3.2
billion in new funds during the past week. Experts anticipate an additional
$20 billion will flow into these ETFs before the year ends.
Geoffrey Kendrick, head of digital asset strategy at Standard Chartered,
attributes this to significant institutional investment. He projects this
buying pressure will propel Bitcoin’s price to $200,000 before the year is
out.
This influx of capital occurred as Bitcoin established a new peak value on
Sunday, surpassing $125,000. Since their inception, Bitcoin ETFs have seen
$58 billion in total inflows, with $23 billion of that total coming in
2025, according to Kendrick.
‘Fundamental change’
The continuous inflows into Bitcoin ETFs signal a
“fundamental change in how digital assets are being adopted and viewed,”
Farzam Ehsani, co-founder and CEO of VALR, stated. “Capital is now being
invested through regulated and strategically-driven channels.”
This recent upswing validates long-held industry predictions: regulated ETFs
are shifting the market away from trading-focused activity toward a model
where institutional investments are key.
Ehsani believes this institutional capital will bring stability during
volatile periods and transform crypto into a market driven by strategic
allocations, fostering sustainable growth.
Bitcoin’s new high reflects “a perfect storm of factors driving demand
higher,” according to David Siemer, CEO of Wave Digital Assets.
He explained that ETF inflows are fostering unprecedented institutional
interest, just as the Federal Reserve’s possible interest rate reductions
are weakening the dollar and increasing risk appetite.
Siemer added that a divided political landscape in Washington, combined with
the weakening dollar, “has
created
an environment where even moderate demand results in substantial price
increases.”
After a period of stability in September, confidence in crypto investment is
growing again, according to Adam Saville-Brown, head of commercial at
Tesseract.
ETFs are attracting traditional finance capital and transforming crypto into
an “investable asset class,” he stated.
“This growth indicates that major institutions are no longer observing from
the sidelines,” said Moe Levin, global chief marketing officer at Hemi.
“The skeptics have become believers.”
Crypto market movers
-
Bitcoin is down 1% in the last 24 hours, trading at approximately
$123,000. - Ethereum is up 0.5% over the past 24 hours, trading at around $4,550.
What we’re reading
Lance Datskoluo is DL News’ Europe-based markets correspondent. Got a
tip? Email
lance@dlnews.com.