Bitcoin ETF Demand Surges as China Eyes $142B Capital Injection to Boost Economy

According to CoinDesk: Demand for Bitcoin ETFs continues to grow among U.S. investors, with daily net inflows surpassing $100 million for the second consecutive day, according to data from SoSoValue. This comes as China considers a massive 1 trillion yuan ($142 billion) capital injection into its state banks to stimulate economic growth, following recent monetary easing measures by the People’s Bank of China (PBOC).Bitcoin ETF Inflows Spike Amid Market Optimism Bitcoin (BTC) traded above $63,000 during early Asian trading hours on Thursday, reflecting a 2% gain over the past week, despite a slight daily decline of 1.4%. The strong inflows into Bitcoin ETFs signal increasing investor confidence, with a five-day streak of positive net inflows indicating accumulation rather than selling. Data from CryptoQuant shows a shift in 30-day net holdings to positive for the first time in September, highlighting rising interest in Bitcoin among institutional investors.China's Economic Stimulus Fuels Market Optimism China’s reported plans to inject up to 1 trillion yuan into its major state banks follow the PBOC’s decision earlier this week to cut the reserve requirement ratio by 50 basis points and reduce the seven-day reverse repo rate by 20 basis points to 1.5%. These measures are aimed at boosting liquidity and supporting the country’s struggling economy, contributing to a surge in Asian stock markets.Ethereum ETFs Also See Positive Inflows Ethereum (ETH) also saw positive momentum, trading above $2,500 with an 8% weekly increase, despite a slight daily drop of 1.3%. Spot ETH ETFs recorded a daily net inflow of $43 million, continuing a positive trend for the second day. Rising Ethereum gas fees, driven by increased network activity, have contributed to ETH’s recent outperformance against BTC, especially after the U.S. Federal Reserve’s 50 basis point rate cut, according to a note from Presto Research.WorldCoin Sees Double-Digit Gains Amid Expansion WorldCoin’s WLD tokens surged by 14%, making it one of the top gainers in the broader crypto market. The jump followed the project's expansion into new countries, including Poland, Malaysia, and Guatemala, boosting user adoption. Additionally, developments at OpenAI, backed by WorldCoin’s co-founder Sam Altman, contributed to the token’s rise. WLD tokens have shown a tendency to move in line with news from OpenAI, as traders view the two projects as closely connected.As Bitcoin ETF inflows continue to rise and China’s economic stimulus measures boost market sentiment, the crypto market remains poised for further growth in the final quarter of 2024.