BlackRock Bitcoin, Ether ETFs buy $1B as BTC price mostly fills CME gap

Bitcoin and Ether are firm “buy the dip” targets for ETF investors, with reactions celebrating continued institutional demand despite a BTC and ETH price correction.

Key points:

• BlackRocks Bitcoin and Ether ETFs bought over $1 billion on Thursday while prices tanked 5% or more.
• Institutions are interested in “buying the dip” on both assets, a reaction says.
• Bitcoin has almost filled its latest CME futures gap with a trip to near $17,200.

Bitcoin (BTC) hovered at $119,000 into Fridays Wall Street open as attention focused on institutional buyers.

BlackRock buys the dip as liquidations pass $500 million

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD protecting the daily open as support.

A double hit of hot US Producer Price Index (PPI) inflation and mixed signals on the Strategic Bitcoin Reserve by Treasury Secretary Scott Bessent sparked a swift 5% BTC price retreat the day prior, with lows near $117,200.

Data from monitoring resource CoinGlass showed crypto liquidations over 24 hours nearing $1 billion.

Crypto hourly liquidations (screenshot). Source: CoinGlass

While longs unwound, however, buyer interest from one source in particular remained conspicuous.

BlackRocks iShares Bitcoin Trust (IBIT), the largest of the US spot Bitcoin exchange-traded funds (ETFs), added over $500 million in BTC on Thursday. Its Ether (ETH) equivalent added a similar amount, bucking the short-term price rout.

US Bitcoin, spot Ether ETF netflows (screenshot). Source: Farside Investors

The moves did not go unnoticed by the crypto trading community, with popular trader BitBull identifying institutions desire to “buy the dip.”

“BlackRock went all in $BTC and $ETH yesterday,” he summarized in part of a post on X alongside data from crypto intelligence firm Arkham.

Bloomberg ETF analyst Eric Balchunas added that Thursdays combined trade volumes for the BTC and ETH spot ETFs totaled $11.5 billion.

“For context thats about the same volume as Apple stock,” he told X followers.

Bitcoin eats away at $117,000 CME Gap

Further optimism came from Bitcoins latest local bottom.

Related: Coinbase says a ‘full-scale altcoin season’ may be just ahead

In dipping to $117,200, crypto investor and entrepreneur Ted Pillows, among others, noted that BTC/USD had mostly filled the latest weekend gap in CME Groups Bitcoin futures market.

“Now I think that the worst is in for BTC and a new rally will start,” he predicted.

As Cointelegraph reported, $117,200 was already on the radar as a significant level for a resistance/support flip.

“Bitcoin recovering well from that post-PPI panic,” fellow trader Jelle continued.

“Price held the support level - the CME gap filled for 75%, price is now back above the 4h 50EMA. $120,000 remains the area to turn into support, once that's done -> price discovery is next.”

BTC/USD chart. Source: Jelle/X

Daan Crypto Trades, meanwhile, suggested that the gap “can be a good level to keep an eye on in case price does decide to do one more drive lower to take out those lows.”

CME Bitcoin futures one-hour chart. Source: Daan Crypto Trades/X

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.