Spot Bitcoin ETFs See Massive Inflows of $556M as BTC Price Rebounds to $66K

After a dull start to October, inflows into the spot Bitcoin ETFs have surged significantly again! On Monday, the US BTC ETFs saw inflows to the tune of $555 million scooping 8,359 Bitcoins from the open market.

Bitcoin ETFs saw massive inflows on Monday as the price of BTC soared by 4.6%. According to data from Farside Investors, the 11 US Bitcoin ETFs saw a total of $556 million in net inflows on Monday, the highest in four months and the eighth largest since their launch in January.

These inflows came as the price of Bitcoin rebounded from crucial support levels and reached $66,000 earlier today. The last time we saw such high inflows into spot Bitcoin ETFs was on June 5, 2024.

Meanwhile, investors are debating whether spot BTC ETFs or MicroStrategy (MSTR) are a better proxy bet for the world’s largest digital asset.

As MicroStrategy stock fell by 5.1% on Monday despite a strong rally over the past week to an all-time high above $220 levels, some investors are arguing that betting on BTC ETFs is more beneficial than betting on MicroStrategy, especially considering its stock price is trading at a very high premium in comparison to its Bitcoin holdings.

“ETFs provide the same exposure without relying on the continuation of a fragile valuation premium,” ETF Store President Nate Geraci wrote in a recent analysis.

Some market analysts have been raising concerns of overvaluation in MSTR against its Bitcoin holdings. Currently, MicroStrategy’s total Bitcoin holdings are valued at $15.5 billion while the company is valued at $42 billion i.e. 2.7x.

However, “Bitcoin Guy” Rajat Soni has justified the valuations by stating that MSTR offers higher risk-adjusted returns than spot Bitcoin ETFs.

Recently Michael Saylor shared his bold plans of converting MicroStrategy into the first trillion-dollar Bitcoin bank.

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