Bitcoin ETFs surpass $2.1b weekly inflows, whale accumulation mirrors 2020 rally

Spot Bitcoin exchange-traded fund (ETF) inflows surged more than 580% this week, with one analyst noting that the pace of accumulation by large investors, or “whales,” is reminiscent of the lead-up to the 2020 Bitcoin rally.

Over the past week, a total of $2.13 billion flowed into 12 different spot Bitcoin ETFs, marking the first time since March 2024 that weekly inflows into Bitcoin ETFs have exceeded $2 billion. This streak of six consecutive days of positive inflows reflects a significant rise in investor interest.

Total net inflows across Bitcoin ETFs have now reached a record $20.94 billion, a milestone that, according to Bloomberg’s Eric Balchunas, took gold ETFs years to achieve. Bitcoin ETFs, however, reached this mark in less than a year.

The highest weekly inflow occurred on October 14, with $555.86 million flowing into Bitcoin ETFs. However, by October 18, the pace had slowed to $273.71 million, according to data from SoSoValue.

Despite the dip in the pace of inflows, no Bitcoin ETF saw negative flows on the final trading day. Among the funds, ARK 21Shares’ ARKB led with a 7-day inflow streak, recording $109.86 million. Other top-performing funds included:

• BlackRock’s IBIT: $70.41 million (5-day inflow streak)
• Bitwise’s BITB: $35.96 million
• VanEck’s HODL: $23.34 million
• Fidelity’s FBTC: $18.0 million (6-day inflow streak)
• Invesco’s BTCO: $16.11 million

Funds such as Franklin Templeton’s EZBC, WisdomTree’s BTCW, Grayscale’s GBTC and BTC, and Hashdex’s DEFI saw no inflows during the period.

Whale accumulation intensifies

This week’s surge in inflows into Bitcoin products reflects strong demand from both retail and institutional investors, coinciding with an intriguing accumulation pattern observed among whales.

On X, CryptoQuant analyst Woominkyu highlighted that the Bitcoin whale ratio on spot exchanges is currently resembling the patterns seen in July 2020, shortly after the COVID crash. According to the chart shared by Woominkyu, that period marked the beginning of a significant Bitcoin rally, suggesting that whales may be positioning themselves for another potential long-term price surge.

A similar accumulation pattern was also observed among newer whales by fellow analyst and CryptoQuant CEO Ki-Young Ju, who wrote in an Oct 16 X post that new whale wallets with an average coin age of under 155 days reached a new high of 1.97 million BTC.

Whales are often dubbed “smart money” due to their ability to strategically buy during market dips and hold through fluctuations, using their deep capital and timing to make calculated moves. Their actions often serve as indicators of future market direction, as they tend to position themselves ahead of significant price shifts.

The recent uptick in whale accumulation has sparked optimism for a potential rally, with some market analysts forecasting that Bitcoin could soon reach new all-time highs. The upcoming U.S. presidential election is seen as a possible catalyst for this surge.

Pseudonymous trader Crypto Raven highlighted that polls are showing increasing chances for Republican candidate Donald Trump to win the November elections, which could provide the momentum BTC needs to reach new highs. As Raven put it, “If everything goes this smooth, we could aim for the moon.”

In a similarly bullish outlook, Bitwise CIO Matt Hougan believes Bitcoin could hit six figures, driven not only by the election but also by surging institutional demand and broader macroeconomic factors.

At the time of writing, Bitcoin was trading at $68,280, reflecting an 8.5% gain over the past week.