Spot Bitcoin exchange-traded funds logged their largest daily inflow on record Friday, bringing in about $1.2 billion as the cryptocurrency climbed above $112,000. The surge adds fresh evidence that institutional investors are still pouring money into the market despite Bitcoin’s volatility.

The strong demand came as traders looked ahead to the next halving cycle, a key event that historically has tightened Bitcoin’s supply and fueled bullish expectations. Reuters reported that the inflows reflected accelerating interest in regulated investment products tied to the token.

Bitcoin’s latest rally has been supported by a mix of institutional buying, improving market sentiment and continued enthusiasm around crypto exposure through ETFs. The move also underscores how quickly mainstream financial products have become a major driver of price action in the digital asset market.

While the record inflows signal confidence, Bitcoin remains a highly speculative asset with sharp price swings. Investors continue to weigh long-term adoption hopes against the risks of rapid reversals in one of the market’s most volatile sectors.