On Thursday local time, the daily net inflow of the US exchange-traded fund (ETF) invested in bitcoin reached a record $1.38 billion, thanks to elected President Trump's support for the digital asset industry and commitment to supportive regulation.

The net inflow of BlackRock's iShares Bitcoin Trust fund accounted for approximately 81% in Thursday's trading, with trading volume of this ETF surging to an all-time high the day before. The fund, also known as IBIT, also saw an unprecedented $1.1 billion net subscription.

The demand for the world's largest bitcoin fund is another sign of how Trump's commitment to placing the USA at the center of the digital asset industry is reshaping the crypto market. Bitcoin prices soared to a record $76,956 on Thursday, now seen as a typical 'Trump trade'.

Caroline Bowler, CEO of the cryptocurrency exchange BTC Markets Pty, stated that there is a significant risk of a 'feedback loop', where the increase in ETF inflows boosts the price of bitcoin, attracting more capital.

Much now depends on whether Trump will fulfill his campaign promises, such as establishing a strategic bitcoin reserve and appointing regulators interested in digital assets. Some technical indicators suggest that the two-month rally driven by optimistic sentiment towards Trump's reelection is now pausing.

So far, bitcoin has risen by about 80% in 2024, surpassing the returns of traditional investments such as stocks and gold, partly due to the Federal Reserve's rate cuts.