BlackRock’s iShares Bitcoin 
$104,585 ETF (IBIT) made headlines on Thursday by purchasing a staggering 5,250 Bitcoins, driven by a remarkable inflow of $528 million. This surge indicates a robust upward momentum, especially as Bitcoin prices surpass the critical $100,000 mark. Supporting macroeconomic factors also significantly contribute to this price rally.
BlackRock Bitcoin ETF Sees Renewed Inflows
In a noteworthy trading session, BlackRock’s IBIT acquired 5,250 Bitcoins, approximately twelve times the daily production of 450 BTC. This increase in acquisitions reflects a renewed institutional interest as Bitcoin overcomes a vital resistance level of $100,000.
Since the start of 2025, IBIT has observed mixed inflows and outflows, currently managing $55.691 billion in net assets. Remarkably, BlackRock’s Bitcoin ETF reached this asset milestone within just one year of its launch, while the company’s gold ETF took two decades to achieve the same level.
Bitcoin Price Breaks the $100K Barrier
Following a decline in core inflation data in December, Bitcoin’s price rebounded swiftly, reflecting an 8% increase on the weekly chart. At the time of reporting, Bitcoin was trading at approximately $101,334, pushing its market capitalization beyond $2 trillion.
According to Coinglass data, liquidations within 24 hours surged to $90 million, with $50 million stemming from short positions. On-chain indicators are also showing strength; Bitcoin exchange balances have reached a seven-year low. This supply shock may serve as an additional catalyst for the BTC price rally.
Crypto analyst Miles Deutscher commented, “Bitcoin needs to surpass the previous $102,500 level to confirm its upward trend.” He further noted that failure to break this level could lead Bitcoin back to its previous range, resulting in sideways movement. Moreover, the upcoming Trump inauguration may significantly impact the market.
BlackRock’s launch of a Bitcoin ETF variant on the CBOE in Canada is making a difference, especially in light of rising global demand. Bloomberg’s senior ETF analyst Eric Balchunas highlighted that Fidelity has reduced its fee in the Canadian BTC ETF to match BlackRock’s, further intensifying competition.
As BlackRock’s Bitcoin ETF continues to see rapid growth in managed net assets, institutional interest in Bitcoin plays a crucial role in shaping market dynamics. Recent developments in the Bitcoin market offer significant insights into its future trajectory. The increase in institutional investments can be viewed as a positive indicator for Bitcoin’s reputation and adoption.
