{"id":16693,"date":"2025-10-05T13:15:01","date_gmt":"2025-10-05T11:15:01","guid":{"rendered":"https:\/\/wsj-crypto.com\/?p=16693"},"modified":"2025-10-05T13:15:01","modified_gmt":"2025-10-05T11:15:01","slug":"bitcoin-etfs-surge-amidst-fresh-updates-on-bitcoin-and-stablecoins","status":"publish","type":"post","link":"https:\/\/wsj-crypto.com\/index.php\/2025\/10\/05\/bitcoin-etfs-surge-amidst-fresh-updates-on-bitcoin-and-stablecoins\/","title":{"rendered":"Bitcoin ETFs Surge Amidst Fresh Updates on Bitcoin and Stablecoins"},"content":{"rendered":"

“`html
\n<\/p>\n

\n

In today’s cryptocurrency updates, the CEO of Stripe claims that stablecoins will compel banks to provide users with genuine interest on deposits, US-listed spot Bitcoin exchange-traded funds (ETFs) commenced October with billions in capital inflows, and a crypto executive forecasted that the Bitcoin price cycle will persist.<\/p>\n

Stripe CEO asserts stablecoins will compel banks to provide users with attractive interest on deposits<\/h2>\n

Stripe’s CEO Patrick Collison stated that stablecoins will necessitate banks to provide attractive interest rates<\/a> to clients due to the emergence of yield-generating stablecoin alternatives.<\/p>\n

Collison highlighted the average savings rates for customer deposits in the United States and Europe, which remained significantly under 1%, as vulnerable to disruption by stablecoins. He expressed<\/a>:<\/p>\n

\u201cDepositors are going to, and should, earn something nearer to a market return on their capital. Some lobbyists are actively advocating post-GENIUS to further limit any type of rewards linked to stablecoin deposits. The business necessity here is obvious \u2014 inexpensive deposits are beneficial, but being overly unfriendly to consumers seems to me like a losing strategy.\u201d<\/p><\/blockquote>\n

Source: <\/em>Patrick Collison<\/em><\/a><\/figcaption><\/figure>\n

The stablecoin market capitalization exceeded $292 billion in October, according to statistics from RWA.XYZ<\/a>, as the sector continued to expand following a comprehensive regulatory bill enacted in the United States.<\/p>\n

Bitcoin ETFs launch \u201cUptober\u201d with $3.2 billion in second-highest week on record<\/h2>\n

US-listed spot Bitcoin ETFs kicked off the traditionally bullish month of October with their second-highest week of inflows since inception<\/a>, indicating renewed investor positivity.<\/p>\n

Spot Bitcoin (BTC<\/a>) ETFs saw $3.24 billion in total net positive inflows<\/a> over the past week, closely approaching their record of $3.38 billion in the week concluding on Nov. 22, 2024, according<\/a> to data from SoSoValue.<\/p>\n

This figure represents a significant recovery from the previous week’s $902 million in outflows. Analysts attributed the turnaround to increasing expectations of another US interest rate cut, which has enhanced sentiment towards risk assets.<\/p>\n

Heightened expectations of a subsequent US interest rate decrease triggered a \u201cshift in sentiment,\u201d drawing renewed investor interest in Bitcoin ETFs, \u201cresulting in four-week inflows nearing $4 billion,\u201d Iliya Kalchev, dispatch analyst at digital asset platform Nexo, informed Cointelegraph. \u201cAt current flow rates, Q4 inflows could remove over 100,000 BTC from circulation \u2014 more than double new issuance.\u201d<\/p>\n

\u201cETF absorption is quickening while long-term holder distribution diminishes, assisting BTC in establishing a firmer foundation,\u201d near crucial technical support levels, he added.<\/p>\n

US spot Bitcoin ETFs, all-time chart, weekly. Source: Sosovalue<\/em><\/figcaption><\/figure>\n

Sustained ETF inflows may provide substantial support for Bitcoin throughout October, recognized as the second-best month for Bitcoin regarding average historical gains, often termed \u201cUptober\u201d by crypto enthusiasts.<\/p>\n

This week’s $3.2 billion momentarily elevated Bitcoin\u2019s price above $123,996 on Friday, hitting an over six-week peak last observed on Aug. 14 for the world\u2019s pioneering cryptocurrency, according to TradingView<\/a> data.<\/p>\n

\u201cHighly likely\u201d Bitcoin cycle will persist in some form: Gemini executive<\/h2>\n

Although Bitcoin\u2019s four-year cycle may not manifest precisely as it did previously, that does not imply the theory is completely defunct,<\/a> as stated by a crypto executive.<\/p>\n

\u201cI believe that regarding the four-year cycle, the reality is that it\u2019s very likely we\u2019ll continue to observe some form of a cycle,\u201d Saad Ahmed, head of the APAC region at crypto exchange Gemini, conveyed to Cointelegraph during a discussion at Token2049 in Singapore.<\/p>\n

\u201cIt ultimately originates from individuals becoming very enthusiastic and overextending themselves, and then you observe a crash, followed by a correction to an equilibrium,\u201d Ahmed noted.<\/p>\n

Nevertheless, Ahmed remarked that increased institutional participation<\/a> in the crypto space could mitigate some of the volatility. \u201cYou\u2019ll see some volatility, flattening out, but you\u2019ll still notice some type of a cycle, since ultimately, it\u2019s driven by human emotion,\u201d Ahmed stated.<\/p>\n