As the 2024 presidential election closes in on its final weeks, the spot bitcoin ETF is roaring to its best week in months.
CoinShares head of research, James Butterfill, said: “The choice is just taking the front seat in terms of price performance.” Decrypt. “Macro data, which has traditionally driven prices, suggests Bitcoin's price should fall — and it hasn't recently.”
Butterfill pointed to data released Friday by the U.S. Census Bureau as building permits fell 2.9 percent month over month in September. Economists have been measuring the strength of the US housing market and economy Lead in It was down 0.1%.
In an ABC/Ipsos poll, Vice President Kamala Harris had a six-point lead over former President Donald Trump a month ago — but in 2018 refresh This week, Trump is showing a revival. Conducted October 4-8, Harris had 50% of likely voters compared to Trump's 48%.
With 17 days until the election, traders are lining up behind a Trump victory, Butterfill said. While Harris did Special profit “It's clear that the policies are more favorable to Bitcoin under the Trump regime,” he recently said to crypto owners.
The former president embraced crypto on the campaign trail for months, portraying himself as a Defender of digital assets. From supporting bitcoin miners in the US to saying he would fire Securities and Exchange Commission (SEC) Chairman Gary Gensler, Trump has done a lot. crypto-specific prospects.
This week, BlackRock's spot Bitcoin ETF alone took in more than $1 billion, representing its sixth-biggest week of flows based on partial weekly data. But the trend isn't limited to the Wall Street titan's output, Butterfill said, with significant revenues coming from a number of asset managers.
“Even Greyscale has seen inflows,” Butterfill said, referring to the Greyscale Bitcoin Trust, which saw daily net flows flip positively about 14 times before starting a three-day streak this week.
Bitcoin prices rose 2 percent on Friday, hitting a more than two-month high of $69,000. Meanwhile, open interest increased by 8.7% Bitcoin future From Monday on the Chicago Mercantile Exchange, showing an increase in “fundamental trading” between institutions, Butterfill said.
By gaining exposure to Bitcoin's spot price when selling futures, the trade “tends to compound during very positive price periods,” Butterfill added.
At Polymarket, there's a trump card. Swollen About 60% chance on Harris. Up from 54% on Monday, Bitwise Senior Investment Strategist Juan Leon said. Decrypt In addition to the platform's betting activity, inflows have increased at a rapid pace, he said.
Evidence of Trump's trade was echoed by Tom Dunleavy, a partner at crypto investment firm MV Global. he said. Decrypt Over the past two weeks, Bitcoin ETF returns have closely tracked Trump's chances on the announcement.
It is becoming increasingly clear that the market sees Trump's victory as extremely positive for the industry. “Inflows into Bitcoin Correlate 1:1 with Increase in Trump's Electoral Chances.”
Edited by Andrew Hayward.
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