On September 23, news of the BlackRock amendment filing coincided with a demand upswing for BTC-spot ETFs, particularly IBIT. Before news of the filing with the SEC, IBIT had net inflows of $6.7 million from September 2 to September 20. In the week ending September 27, IBIT recorded net inflows of $499 million.
Bets on a US Soft Landing and 50-Basis Point Fed Rate Cut Fuel BTC-spot ETF Demand
Recent US economic indicators raised expectations of a soft US economic landing. Moreover, Friday’s softer US inflation figures fueled speculation about a possibly 50-basis point November Fed rate cut. Sentiment toward the US economy and the Fed rate path drove buyer demand for riskier assets, supporting the BTC return to $65,000.
According to the CME FedWatch Tool, the probability of a 50-basis point November Fed rate cut increased from 50.4% (September 20) to 53.3% (September 27).
