Hedge funds boost Bitcoin ETF holdings to $1.7B

Hedge funds are increasingly turning to Bitcoin (CRYPTO:BTC) exchange-traded funds (ETFs) as part of their investment strategies, as shown in recent 13F filings with the U.S. Securities and Exchange Commission (SEC) for the third quarter. 

These filings are required for institutional managers overseeing more than $100 million in assets and provide insights into investment trends. 

Millennium Management reported the largest increase, more than doubling its position in the Ishares Bitcoin Trust (IBIT) to 23.5 million shares, valued at approximately $849 million. 

The firm also expanded its holdings in other Bitcoin-focused funds, such as those managed by Bitwise and Ark 21shares. 

By the end of September, Millennium Management’s total ETF holdings, including spot Bitcoin and Ethereum funds, reached $1.7 billion. 

Capula Management, a macro hedge fund, increased its investments in Fidelity Wise Origin Bitcoin and Ishares Bitcoin Trust, bringing its Bitcoin ETF holdings to around $600 million, according to SEC filings. 

Tudor Investment, led by Paul Tudor Jones, significantly boosted its position, growing its shares in the Ishares Bitcoin Trust from 869,565 to 4.4 million. 

With spot Bitcoin ETFs seeing gains of about 35% in Q4 so far, hedge funds are showing continued interest in maintaining and expanding their Bitcoin investments. 

This trend aligns with a broader institutional movement toward regulated financial products that offer Bitcoin exposure. 

The possibility of a pro-crypto administration in the U.S. adds further motivation for these investments. 

At the time of reporting, the Bitcoin (BTC) price was $91,785.99.