The price of Bitcoin hit a new high today, briefly breaking $76,000 at about 4:25 p.m. Eastern, surging past its previous all-time high of $73,794 set on March 14, 2024. While not directly impacted by Donald Trump’s win in the 2024 presidential election, president-elect Trump’s return to the White House is viewed as being favorable for the crypto industry—especially in terms of regulation and the potential development of a strategic Bitcoin stockpile. If you’ve been looking to invest in Bitcoin but are not sure how to invest in assets other than physical coins or tokens, spot Bitcoin exchange-traded funds (ETFs) may be the answer. And these ETFs can be purchased using many of the top online brokerage platforms.
Key Takeaways
- Bitcoin’s price briefly broke above $76,000 today—topping its prior high of $73,794 set in March–as a Donald Trump victory in the U.S. presidential election took shape, continuing a pre-election rally that began in early September.
- Bitcoin’s high may be fueled by macroeconomic factors, such as the expectation of Donald Trump’s victory and record U.S. debt levels.
- Another contributor to Bitcoin’s price climb may be the rise of ETFs that offer individual investors a way to bet directly on the spot price of Bitcoin without the risk and bother of owning and securing actual Bitcoin.
You Can Invest in Bitcoin via Spot Bitcoin ETFs
Spot Bitcoin ETFs have soared in popularity. In a remarkable turnaround for an investment class that was not even authorized by the U.S. Securities and Exchange Commission (SEC) until January 2024, the three spot Bitcoin ETFs with the highest trading volume have each ballooned to more than $10 billion in assets under management (AUM).
Today, iShares Bitcoin Trust led its rivals in one-day dollar volume. Here are the top five spot Bitcoin ETFs based on volume as of 11:41 a.m. Eastern today, Nov. 6, according to TradingView.com:
iShares Bitcoin Trust (IBIT)
- $37.629 million in one-day volume
- $29.95 billion in assets under management—nearly twice the size of its closest rival and more than double the third-largest such ETF
- Expense ratio: 0.12%
Grayscale Bitcoin Trust (GBTC)
- $2.485 million in one-day volume
- $15.22 billion in AUM
- Expense ratio: 1.50%, much higher than its rivals, which can eat into your profits
Fidelity Wise Origin Bitcoin Fund (FBTC)
- $4.54 million in one-day volume
- $12.92 billion in AUM
- Expense ratio: 0.00%
ARK 21Shares Bitcoin ETF (ARKB)
- $1.39 million one-day volume
- $3.36 billion in AUM
- Expense ratio: 0.21%
Bitwise Bitcoin ETF (BITB)
- $1.88 million in one-day volume
- $2.71 billion in AUM
- Expense ratio: 0.00%
“It is far easier to buy an ETF and manage it as part of a diversified portfolio within a brokerage account than to open an account with a crypto exchange [to invest directly in Bitcoin],” Ric Edelman, a financial advisor and bestselling personal finance author who holds the CBDA (Certified in Blockchain and Digital Assets) designation, said in an email exchange with Investopedia. “The ETFs are also safer for most investors.”
Where to Buy Spot Bitcoin ETFs
Many online brokerage and robo-advisor platforms now allow you to invest in spot Bitcoin ETFs. You can use them in many retirement accounts, including Bitcoin IRAs, traditional IRAs, Roth IRAs, and solo 401(k) accounts.
When you shop for a spot Bitcoin ETF, it is vital to analyze fees charged by the fund issuer and any levied by the brokerage. Some issuers are temporarily waiving fees to encourage shareholders to invest. For example, VanEck Bitcoin ETF (HODL) is waiving its 0.20% sponsor fees through March 31, 2025, or until it hits $1.5 billion in AUM. It’s important to note that fee waivers are a device for attracting shareholders to spot Bitcoin ETFs, and the waivers will expire.