Bitcoin ETFs saw record inflows as miners expanded operations — analysts from H.C. Wainwright link a BTC rally to easing global monetary policies.

According to H.C. Wainwright’s latest report shared with crypto.news, Bitcoin (BTC) closed the week ending September 29 with a 3.2% rise, hitting $65,618. This contrasts with its usual trend, as September is typically a weak month for BTC. 

Historically, September has seen an average 3.7% drop, but this year’s gains suggest a shift. Analysts at the firm link this unusual rise to global central banks easing monetary policy, with 21 rate cuts in September. Such actions often boost BTC prices, as reflected by BTC’s surge after the Fed’s recent rate cut.

That said, crypto markets slumped on Oct. 1 as geopolitical tensions between Israel and Iran triggered a sell-off, causing Bitcoin to drop 3.9% and Ethereum (ETH) to fall over 6%. 

The conflict also impacted crypto-mining stocks, with Marathon Digital and CleanSpark shares declining by about 9% and 6%, respectively.

Spot ETFs and miner performance

According to the analysts, spot Bitcoin ETFs saw over $1 billion in inflows last week, marking the first such weekly inflows since July. This indicates strong investor interest, with $494.4 million arriving on September 27 alone. Since January, these ETFs have accumulated $18.8 billion in total inflows.

Miners also experienced a notable week last week. Mining stocks rallied 15.1% week-on-week as Bitcoin prices rose, leading to higher hash prices — a key metric that indicates miner profitability.

Positive developments in the BTC mining space

Analysts from H.C. Wainwight view the Bitcoin mining industry as poised for growth. Hut 8 began its GPU-as-a-service business, signing a five-year deal with an AI cloud developer. This deal is expected to generate $20 million in annual revenue. 

Meanwhile, Cipher completed its purchase of a new 300 MW mining site in West Texas for $67.5 million, expanding its operations. 

Additionally, Bitdeer tested its second-generation SEAL02 mining chip, hitting key efficiency targets and planning mass production in 2024.