Bitcoin ETFs Return to Inflows as Nvidia Rally Lifts Crypto
Following a 5-day break, investments in Bitcoin Spot ETF products in the U.S. picked up again, as a tech rally driven by strong results from NVIDIA helped boost Bitcoin’s recovery in the last 24 hours. The positive sentiment helped cryptocurrencies secure slight gains, despite the uncertainty arising from the recent FOMC minutes and the accumulation of macro-economic data. Among the leading non-stablecoin cryptocurrencies, XRP, BNB, TRON, Hyperliquid, and Zcash are presently showing year-to-date increases, while Bitcoin, Ethereum, Solana, Dogecoin, and Cardano are experiencing losses this year. On Wednesday, Bitcoin Spot ETF products in the U.S. experienced inflows of $75 million, marking a significant change from the outflows of $373 million noted on Tuesday. After a 5-day break, market leader iShares Bitcoin Trust has experienced a comeback in inflows, with a notable $61 million reversal from the unprecedented $523 million outflow noted just a day earlier. Driven by strong earnings from tech giant NVIDIA, futures are looking optimistic, and the positive relationship between cryptocurrency and the tech industry has created a buoyant atmosphere.
Despite this, anxiety lingers as market sentiment remains heavily inclined towards a “pause” by the Federal Reserve on December 10. Reports shows that the probability of the Fed keeping the current policy is at 31.8 percent, an increase from 30.1 percent the previous day, 50.1 percent a week ago, and 98.8 percent a month earlier, following indications of a division within the Fed as disclosed in the FOMC minutes and concerns about the Fed’s dependence on data. Minutes from the October FOMC showed that committee members had varying views on the October rate decision and December outlook, with opinions split on whether the stagnating labor market or persistent inflation posed the greater economic threat. Worries about data availability for the December decision have also influenced expectations, as the U.S. Bureau of Labor Statistics canceled the September report and announced revised release dates for payrolls data, including delays to the October and November Employment Situation Reports. Market participants doubt whether the Fed will cut rates based solely on the September payroll data, which predates the shutdown.
Following recent developments, the overall cryptocurrency market capitalization has risen by 0.26 percent in the past 24 hours to $3.13 trillion. In the latest market update, 23 of the top 100 cryptocurrencies recorded overnight gains of over 1 percent, while 18 saw declines exceeding 1 percent. According to a source, total liquidation in the past 24 hours reached $606 million, with $428 million from long positions and $178 million from short positions. The rise in crypto market capitalization coincides with a slight decrease in the dollar and a drop in gold prices, with the Dollar Index now at 100.18 and gold futures at $4,063.94 per troy ounce, down 0.46 percent overnight. Bitcoin has risen 0.58 percent in the past 24 hours to $91,872.31, still 27 percent below its October 7 all-time high; it has declined 10.9 percent over the past week and 1.6 percent year-to-date. Ethereum fell 2.6 percent overnight to $3,010.72, representing a 39 percent decline from its peak, weekly losses of 14.2 percent, and year-to-date losses of 9.6 percent, while Ethereum Spot ETF outflows declined to $37 million from $74 million.
Bitcoin’s market share is now 58.6 percent, up from 58.4 percent the previous day, while Ethereum’s share has slipped to 11.6 percent from 11.9 percent, with the remaining altcoins at 29.8 percent. Ranked 4th, XRP declined 1.1 percent to $2.11; BNB, ranked 5th, fell 2.5 percent to $899.65; Solana, ranked 6th, rose 1.6 percent to $141.72; TRON, ranked 8th, fell 0.6 percent to $0.2860; Dogecoin, ranked 9th, dropped 0.76 percent to $0.1569; and Cardano, ranked 10th, dipped 0.52 percent to $0.4654. Cosmos, ranked 52nd, led overnight gains with a 13.7 percent surge, while the Artificial Superintelligence Alliance, ranked 76th, gained 11 percent. AB, ranked 92nd, rebounded despite a 14.3 percent drop, and Canton, ranked 33rd, fell 12.8 percent overnight. These movements reflect a crypto market experiencing cautious optimism driven by ETF inflows and macro relief, while persistent volatility continues to shape short-term dynamics across major and mid-cap assets.
