Bitcoin’s surge past $87,000 in late November 2024 followed a record-shattering day for U.S. spot Bitcoin ETFs, which logged $1.38 billion in net inflows on November 7, 2024, as institutional demand collided with a post-halving supply squeeze that continues to shape price discovery.
Record ETF inflows ignited Bitcoin’s breakout
U.S. spot Bitcoin ETFs posted a record $1.38 billion in net inflows on November 7, 2024, the day after Donald Trump won the U.S. presidential election. The Federal Reserve cut rates by 25 basis points on the same day, compounding macro tailwinds for risk assets.
Bitcoin traded above $76,000 during Asian morning hours on November 8, up nearly 10% over the prior week. The $87,000 level came weeks later as the institutional buying wave extended through late November, part of a broader rally trajectory rather than a single-session event.
The combination of a rate cut and expectations for a more crypto-friendly regulatory environment under the incoming administration created conditions for sustained capital rotation into Bitcoin-linked products. Ethereum ETFs also logged $78 million in inflows on the same day, though the institutional preference for Bitcoin exposure was clear.
BlackRock IBIT and the $25 billion milestone show institutional conviction
BlackRock’s iShares Bitcoin Trust absorbed $1.1 billion in single-day net inflows on November 7, its highest-ever daily figure since the product launched in January 2024. IBIT alone accounted for roughly 80% of the day’s total ETF demand.
The breadth of buying was equally notable. None of the twelve U.S. spot Bitcoin ETFs posted net outflows that day, a rare showing of unanimous institutional demand across competing products.
Cumulative net inflows across all U.S. spot Bitcoin ETF products crossed $25 billion for the first time on November 8, 2024, confirming that the demand surge was not a one-off event but the acceleration of a months-long accumulation trend.
That institutional conviction has only deepened since. Q1 2026 saw $18.7 billion in net institutional inflows into Bitcoin ETFs globally, with BlackRock’s IBIT reaching $54 billion in assets under management. Understanding Bitcoin holding periods and long-term ROI helps explain why institutions are treating ETF allocations as strategic rather than tactical positions.
Why the supply squeeze thesis points to rallies beyond the first spike
The April 2024 Bitcoin halving cut new supply creation by 50%, reducing daily issuance to roughly 450 BTC. At the record inflow pace, institutions were absorbing demand equivalent to approximately 18,000 BTC per day against just 450 BTC of new supply, a 40-to-1 demand-versus-supply ratio.
That structural imbalance explains why Bitcoin has responded sharply to macro catalysts throughout this cycle. When institutional demand is persistent and new supply is fixed, even modest catalysts produce outsized price moves.
Bitcoin reached an all-time high of $126,080 on October 6, 2025, validating the supply squeeze thesis over a longer time horizon. The path from $76,000 on the record inflow day to $87,000 weeks later, and eventually to six figures, followed the structural logic of fixed supply meeting accelerating institutional demand.
Today, Bitcoin trades at $74,976 with a market capitalization of $1.498 trillion. The Fear & Greed Index reads 29, indicating fear among retail participants, even as institutional flows remain robust. This divergence between institutional policy expectations and retail sentiment has characterized much of the post-ETF era.
Daily trading volume of $38.04 billion confirms that liquidity remains deep despite the pullback from all-time highs. With approximately 20.02 million BTC in circulation out of a maximum 21 million, the supply constraints that powered the rally from $76,000 through $87,000 and beyond remain firmly in place.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency and digital asset markets carry significant risk. Always do your own research before making decisions.
