Milestone moment! Bitcoin ETF surpasses the scale of gold! Breaks through the $89,000 mark.

After Donald Trump won the US presidential election, cryptocurrencies continue to rise. As of the time of writing, Bitcoin continued to rise above the $89,000 mark, up 12% in a single day; Ethereum rose over 7% to $3,371.79, an increase of 30% in the past week. Milestone moment! Bitcoin ETF surpasses gold After Trump's victory, investors flocked to the cryptocurrency market, pushing the assets under management of BlackRock's Bitcoin ETF to surpass the assets of the iShares Gold Trust ETF. FactSet data shows that as of last Friday, the assets under management of the Bitcoin ETF-iShares (IBIT) were approximately $34.3 billion, surpassing the iShares Gold Trust Fund (IAU), which had slightly less assets at around $33 billion. This milestone event occurred after Trump's victory. FactSet data shows that IBIT attracted around $1 billion in funds inflow in the past week, totaling $27 billion since its launch in January. With the continuous rise in Bitcoin prices, its total assets have surpassed $30 billion. However, IBIT still has about $30 billion less in assets compared to the world's largest gold ETF, SPDR Gold Shares (GLD). Citigroup strategists emphasized in a report last week that cryptocurrencies are one of the "few Trump trades that have not retreated." The Citigroup strategist team led by David Glass stated, "Partly because the market expects the Trump administration to have a friendly attitude towards cryptocurrencies, investors hope this will regulatory clarity in the US." They pointed out that spot cryptocurrency ETFs have seen the largest inflows in history since the election. They said, "Specifically, in the two days following the election, net inflows into Bitcoin and Ethereum ETFs were $2.01 billion and $132 million, respectively." "We still believe that ETF inflows are the main driver of Bitcoin returns." Looking ahead, some analysts expect cryptocurrencies to continue to rise, with some analysts believing that Bitcoin could reach a milestone of $100,000 by the end of this year. Hedge funds "boosting the wave" The rapid rise of Bitcoin has made one of the most popular trades for cryptocurrency hedge funds more profitable than usual and may continue to drive Bitcoin higher. Since Trump's victory in the US presidential election last week, the price of Bitcoin has surged by about 30%, reaching new highs. This has led to the spread between Bitcoin futures and the price of this digital currency reaching its highest level since March, when the US spot Bitcoin ETF was listed, pushing Bitcoin to record levels. Hedge funds have long tried to profit from so-called basis trading, which involves buying Bitcoin in the spot market and selling long-term futures to lock in the price difference between the two. Ravi Doshi, market chief at FalconX, a major brokerage firm, stated, "Market participants are eager to bet on further price increases through leverage provided by futures and options." As the futures premium expands, hedge funds are focusing on arbitrage opportunities. According to CF benchmark data, the basis on the CME exchange is currently close to 18%, with the near-month contract on CME-listed Bitcoin futures having a basis higher than other derivative platforms. Leverage in the cryptocurrency market is also increasing, with open interest contracts in the futures and options markets on the rise. CME Bitcoin futures contracts are one of the most popular ways for US institutional investors to increase leverage, while overseas traders often use Binance's perpetual futures and options from the Deribit exchange to place bets. Doshi stated, "At this level, traditional financial institutions are lending dollars to the cryptocurrency market by shorting the basis to earn an 18% annualized yield as of the end of November. As the yield continues to rise, FalconX's derivatives trading division is increasingly interested in this trade." Bitcoin options traders have set their sights on the milestone price of $100,000 for Bitcoin. According to data from the cryptocurrency options exchange Deribit, investors are betting that Bitcoin will reach this milestone by December 27th, with approximately $780 million worth of open interest contracts. Deribit believes that the probability of this trade being profitable is 18.6%.