Inflows to IBIT have picked up recently after a dismal few weeks at the end of April. BlackRock now holds the ETF in one of its major funds.

BlackRock's IBIT Surpasses Grayscale's GBTC as Largest U.S. Spot Bitcoin ETF

BlackRock’s spot Bitcoin ETF, IBIT, has overtaken Grayscale's GBTC to become the largest product of its kind in the U.S., following a substantial $102 million inflow on Tuesday.

As of Wednesday morning, IBIT holds nearly $20 billion in Bitcoin, surpassing GBTC, which now holds $19.7 billion after experiencing $105 million in outflows on Tuesday.

On Tuesday, BlackRock incorporated IBIT into its income and bond-focused funds. The Strategic Income Opportunities Fund (BSIIX) now holds over $3.5 million worth of IBIT, while the Strategic Global Bond Fund (MAWIX) holds $485,000.

Recent buying activity for IBIT has surged due to bullish sentiment surrounding Bitcoin and the broader crypto market. This positive momentum was further fueled by the approval of Ether (ETH) ETFs and renewed political support for crypto in the U.S. This marks a notable shift for IBIT, which had previously seen low or zero inflows before May 15 and even experienced its first-ever day of outflows in April, leading to bearish sentiment at the time.

Last week, U.S.-listed spot Bitcoin ETFs reached a new record, with more than 850,000 BTC in custody, surpassing the previous high of 845,000 BTC from early April.