Annual Review | The Top 10 Soaring ETFs in the US Stock Market Have Been Released

·

As 2024 draws to a close, the U.S. capital markets reflect a year defined by bold breakthroughs, unexpected rallies, and powerful thematic trends. Artificial intelligence (AI) remained the dominant narrative, fueling tech-driven momentum throughout the year, while political shifts—particularly the return of Donald Trump to the national spotlight—added renewed energy to market sentiment in the second half.

Despite early-year concerns about economic “hard landings” and delayed Federal Reserve rate cuts, the stock market defied expectations. As of mid-December, the S&P 500 Index had surged approximately 26.87%, setting the stage for one of the most dynamic ETF performances in recent history.

This strong market backdrop has elevated exchange-traded funds (ETFs) into the spotlight, especially those offering exposure to high-growth sectors and innovative financial instruments. From leveraged tech plays to cryptocurrency-linked strategies, investors have flocked to ETFs that promise amplified returns and strategic diversification.

👉 Discover how top-performing ETFs can align with your investment goals in 2025.

The Top 10 High-Performance ETFs: Eight Are Crypto-Linked

One of the most striking trends of 2024 has been the explosive rise of cryptocurrency ETFs, which now dominate the list of top-performing U.S. exchange-traded products. Eight of the top ten best-performing ETFs this year are directly tied to digital assets—driven by key catalysts including:

These developments collectively boosted investor confidence and institutional participation in crypto-related financial products.

At the very top is the 2x Bitcoin Strategy ETF (BITX.US), which has delivered an astonishing 215.15% return year-to-date. As the first leveraged Bitcoin strategy ETF in the U.S., BITX seeks to double the daily performance of the S&P CME Bitcoin Futures Index through cash-settled futures contracts. It’s important to note: this fund does not hold actual Bitcoin, but instead tracks futures-based exposure, making it suitable for short-term traders seeking amplified results.

Other notable crypto ETFs in the top ten include:

These funds benefited from increased liquidity, improved regulatory clarity, and growing mainstream adoption of digital assets.

Tech-Leveraged ETFs Shine: FANG+ and Semiconductors Lead

Outside of crypto, leveraged equity ETFs also posted remarkable gains. The MicroSectors FANG+ Index 3X Leveraged ETN (FNGU.US) ranked second with a 165.79% increase, powered by outsized performance in mega-cap tech stocks.

FNGU provides triple daily leverage on a basket of ten high-growth technology and consumer companies. While originally named after the "FANG" stocks—Meta (META), Amazon (AMZN), Netflix (NFLX), and Alphabet (GOOGL)—the underlying portfolio now includes modern growth leaders such as:

This blend of AI infrastructure and cloud innovation proved exceptionally profitable in 2024, as demand for computing power soared alongside generative AI adoption.

Rounding out the top three was the ProShares Ultra Semiconductors ETF (USD.US), up 133.99%, underscoring the critical role chipmakers played in enabling AI advancements.

Large-Cap Index ETFs: The Money-Absorbing Champions

While some ETFs dazzled with sky-high returns, others demonstrated their dominance through sheer capital inflows. According to Bloomberg data, large-cap index-tracking ETFs emerged as the primary destination for investor capital in 2024.

The S&P 500, long favored by Warren Buffett as a core investment vehicle, continued to attract broad-based interest due to its stability, diversification, and consistent long-term growth.

Among the largest recipients of inflows:

These funds serve as foundational holdings for both retail and institutional investors seeking exposure to America’s largest and most resilient companies.

Additionally, two NASDAQ-linked ETFs made strong showings:

With heavy weighting in tech giants like Apple, Microsoft, and NVIDIA, these ETFs capitalized on AI-driven earnings growth and robust innovation cycles.

👉 See how you can gain diversified exposure to top-performing sectors with smart ETF strategies.

Looking Ahead to 2025: Will Momentum Continue?

Market sentiment heading into 2025 remains largely bullish. Major Wall Street institutions have set optimistic targets for the S&P 500:

While these projections vary, they reflect a shared belief in continued economic resilience, potential rate cuts in the first half of 2025, and sustained corporate profitability—especially in technology and AI-related industries.

Given this outlook, large-cap index ETFs and high-growth thematic funds are likely to remain at the forefront of investor portfolios.

Frequently Asked Questions (FAQ)

Q: Why did crypto ETFs perform so well in 2024?
A: Regulatory approval of spot Bitcoin ETFs in January unlocked institutional demand, while events like the halving and political shifts boosted retail interest and market sentiment.

Q: Are leveraged ETFs like FNGU suitable for long-term investing?
A: No—leveraged ETFs are designed for short-term trading due to compounding effects. Holding them long-term can lead to significant deviations from expected returns.

Q: What makes VOO and SPY different?
A: Both track the S&P 500, but VOO has a lower expense ratio (0.03%) compared to SPY (0.094%), making it more cost-effective for buy-and-hold investors.

Q: Should I invest in crypto ETFs or buy Bitcoin directly?
A: Crypto ETFs offer regulated, brokerage-accessible exposure without managing private keys. Direct ownership provides full control but requires secure storage solutions.

Q: How do I choose between IVV, VOO, and SPLG?
A: All track the S&P 500 closely. VOO and IVV are nearly identical; SPLG offers slightly lower fees but less liquidity. Choose based on trading costs and platform availability.

Q: Is now a good time to enter the ETF market?
A: With many analysts forecasting continued growth in 2025 and potential Fed rate cuts on the horizon, dollar-cost averaging into broad-market ETFs could be a prudent strategy.

👉 Start building your 2025 portfolio with insights from global market trends.

Final Thoughts

The year 2024 will be remembered as a transformative period for U.S. ETF markets—where digital assets stepped into the mainstream and large-cap indices solidified their role as capital magnets.

For investors, the key takeaway is clear: whether pursuing aggressive growth through leveraged or crypto-linked products or prioritizing stability via index trackers, ETFs offer flexible, accessible tools to meet diverse financial goals.

As we move into 2025, staying informed and strategically positioned will be essential to capturing what may be another record-breaking chapter in American financial markets.

Core Keywords:
ETFs, S&P 500 ETF, crypto ETFs, leveraged ETFs, NASDAQ 100 ETF, Bitcoin ETF, large-cap index funds, investment strategies