Bitcoin ETFs attract $2.56 billion from U.S. investors

U.S. investors put $2.56 billion into Bitcoin ETFs since last Monday, according to Farside Investors data. Products managed by BlackRock, Morgan Stanley, and Fidelity attracted nearly $652 million this week. Bitcoin recently traded at $78,302 after rising nearly 25% over seven days. Bitcoin reached $81,160 on Monday. Bitcoin mostly traded below $65,000 during June and July. The Treasury announced last week that it would at least double the size of its liquidity-support buyback operations. The announcement hurt the dollar. Bitcoin and gold benefited as non-yielding assets. Eric Balchunas, a Bloomberg Intelligence ETF analyst, said gold and Bitcoin ETFs recorded more than $7 billion in combined flows during the past week. Balchunas described the flows as a record for a five-day period. He said the debasement trade had regained attention from investors. The debasement trade involves buying assets to hedge against a currency losing value. Investors are concerned about U.S. borrowing, a weak dollar, and efforts to contain long-term yields. Bitcoin ETFs recorded nearly $2 billion in inflows last week, their best week since October. White House regulatory developments also spurred trading activity. President Donald Trump met with crypto executives earlier last week. Trump urged lawmakers to advance the crypto Clarity Act.