BlackRock's iShares Bitcoin Trust (IBIT) Has Officially Entered the Big Leagues

According to new data from Bloomberg Intelligence, IBIT is now one of the 20 most-traded ETFs

BlackRock’s (NYSE:BLK) iShares Bitcoin Trust (NYSE:IBIT) has officially entered the big leagues. According to new data from Bloomberg Intelligence, IBIT is now one of the 20 most-traded exchange-traded funds (ETFs) in 2024.

In a recent tweet, Bloomberg ETF analyst Eric Balchunas shared a chart highlighting the evolution of the ETF landscape year over year.

While well-known funds like the SPDR S&P 500 ETF Trust (NYSE:SPY), Invesco QQQ Trust (NYSE:QQQ), and iShares Russell 2000 ETF (NYSE:IWM) have consistently occupied the top spots, IBIT’s presence among them signals the increasing interest from institutions in Bitcoin.

Launched in early 2024 after the U.S. approval of spot Bitcoin ETFs from the Securities and Exchange Commission (SEC), IBIT is managed by BlackRock, the world’s largest asset manager.

What makes IBIT’s achievement remarkable is the speed of its ascent.

Despite being the “baby” of the ETF world, as Balchunas describes it, IBIT has outpaced many long-standing funds in terms of daily trading volume. This remarkable feat brings high liquidity, tighter spreads, and greater flexibility to both institutional investors and active traders.

The liquidity edge

As of the third quarter of 2025, IBIT boasts an impressive daily trading volume of around $3 billion, placing it among the 20 most-liquid ETFs in the U.S., according to data from the Investment Company Institute.

For context, some of the other well-known ETFs on this list include the Vanguard Total Stock Market ETF (NYSE:VOO), which is also a newcomer to the top 20 this year due to increased retail investor interest in low-cost, broad-market ETFs.

Another interesting tidbit is that the iShares Select Divisonal Value Factor ETF (NYSE:TSLL), a dividend-focused ETF launched in 2024, is also on the list, showcasing the strong interest in value and income-generating investments.

It is also worth noting that the chart shows the Top 20 most traded ETFs by year, highlighting how this ranking has changed over time. For instance, VOO is currently at number five and could soon overtake SPY to become the biggest and most liquid ETF.

Also, IBIT and TSLL, both launched in 2024, are still on the list despite being relatively new products.

The rapid rise of IBIT

In the broader scheme of the ETF market, IBIT’s presence among the top 20 most-traded ETFs is a significant milestone.

It showcases the speed at which Bitcoin is entering the mainstream investing sphere.

The strong demand for IBIT from both institutional and retail investors can be attributed to several factors, including:

* Increasing interest in alternative investments as investors seek to diversify their portfolios in a low-yield environment.

* Growing concerns over inflation and the potential of Bitcoin as an inflation hedge, especially in the current economic climate.

* The role of BlackRock, a highly respected and trusted name in the financial industry, in launching and managing IBIT.

Moreover, IBIT fills a crucial gap for more conservative investors who were previously hesitant to invest in cryptocurrencies.

By packaging Bitcoin in an ETF that is traded on traditional stock exchanges, BlackRock has made BTC accessible via standard brokerage accounts and retirement portfolios.

This accessibility is a key factor for institutions and retail investors who are seeking to diversify their investments without having to directly use crypto exchanges.

For day traders, IBIT offers the benefit of volatility and momentum in a regulated environment, presenting new opportunities for short-term trading strategies.

Finally, IBIT’s presence on this year’s top-20 ETF list alongside well-known giants like SPY and QQQ is a testament to the shift in investor behavior.

It signifies that Bitcoin is no longer a fringe asset but has become a legitimate part of mainstream financial markets, and IBIT is facilitating this transition.

As more investors seek diversified exposure and alternative sources of returns, IBIT stands to benefit further from Bitcoin’s increasing profile and the credibility of the BlackRock brand in the investment community.

While it’s still early days, IBIT’s rapid rise into this elite ETF group is a testament to the speed at which Bitcoin is entering the fabric of Wall Street.

Recently, there were reports of a $3 billion drop in BTC (Bitcoin) whale inflows on Binance in the third quarter, providing an interesting backdrop to the broader narrative of institutional investors.