"FOMO confirmed": the BlackRock Bitcoin ETF has its biggest trading day in six months

"FOMO confirmed": the BlackRock Bitcoin ETF has its biggest trading day in six months

Panic and euphoria has once again been unleashed in the world of cryptocurrencies. ETF analyst Eric Balchunas reported that the BlackRock Bitcoin ETF experienced its highest trading volume in six months on Oct. 29, proving that investors are eagerly buying Bitcoin as its price nears an all-time high. The exchange traded fund's (IBIT) daily trading volume climbed to $3.35 billion.

Balchunas pointed out that the surge in trades was the result of panic buying of Bitcoin, which is currently trading at $72,390, just off its all-time high. "FOMO confirmed," the analyst wrote on social network X, pointing out that $599.8 million came into BlackRock in one day.

Across all spot bitcoin ETFs in the U.S., the market saw total inflows of $827 million for the day, suggesting speculative interest is growing. "If this is a FOMO frenzy, it should show up in flows in the days ahead. If not, it may be due to high-frequency trading," Balchunas said.

Similar comments were made by Alex Thorn, head of research at Galaxy Digital, who said Oct. 29 was the third "day with the highest Bitcoin trading volume since April 1, 2024." The total trading volume of spot ETFs in the US reached an impressive $4.64 billion, with IBIT dominating with a volume of $3.35 billion.

While higher trading volumes indicate increased liquidity and activity, it does not necessarily indicate new capital inflows. However, IBIT has experienced continuous capital inflows over the past 12 days, with total inflows reaching approximately $3.20 billion since October 10, which was a zero net inflow day.

Importantly, Bitcoin surpassed the $70,000 mark on Oct. 29 for the first time since June 6, a key price level that traders are keeping a close eye on. Since the April decline, Bitcoin has stabilized in a range of $54,147 to $69,500, indicating its potential for further upside. Cryptoanalyst Matthew Hyland said Bitcoin completed "the second highest daily candle in history."

This market dynamic clearly shows that investors are ready to take risks, which only reinforces the perception that we are witnessing the beginning of a new era for Bitcoin and its ETFs.

*This is not investment advice.

Coingarage team