ETFs
Bitcoin ETFs See $300 Million in Net Inflows as Bitcoin Nears $67,000 ⋆ ZyCrypto
Net inflows into the 9 spot Bitcoin exchange-traded funds (ETFs) reached $300 million yesterday as the market experienced a healthy bullish phase. The largest cryptocurrency by market cap has remained below $63,000 for most of the past three weeks, so this price rise was a breath of fresh air for the bullish cause.
Daily ETF Feed
According to Bitcoin ETF Flow data, ETF net inflow was $303 million on May 15, 2024. Here is the full breakdown:
According to the spreadsheet, Fidelity’s FBTC fund was the biggest winner, with a net inflow of $131 million, significantly eclipsing the rest of the pack. BitWise’s BITB and ARK Invest’s ARKB ETFs ranked second and third, with $86.3 million and $38.6 million, respectively. The remaining five spot ETFs, including Grayscale, were in the single digits.
Bitcoin ETFs Get Started
Bitcoin ETFs started after pending approval at the end of January this year. They became the most successful ETFs ever launched in the history of exchange funds. Four leading ETFs, including IBIT, FBTC, ARKB and BlackRock’s BitWise, saw massive purchases worth $28 billion in just three and a half months.
After the success in America, several other financial destinations have launched their spot crypto ETFs. Hong Kong, in particular, not only launched three Bitcoin funds, but also allowed the same three companies to file Ethereum ETFs, which were also approved. However, funds based in Hong Kong could not perform as well as their counterparts across the Pacific Ocean. The United States took the lead, although it was not the first to cross the line.
However, performance in recent weeks has slowed as the crypto market has suffered overall. The end of April saw considerable net outflows, with all major ETFs losing value.
The future
While the total $28 billion invested in US-based Bitcoin ETFs is peanuts compared to the multi-billion dollar valuation of the entire crypto market, it is important to note that this is a long term game.
These ETFs are monitored by the largest investment banks around the world, with big names like BlackRock, Morgan Stanley and J.P. Morgan already immersed in the market. The US state of Wisconsin also bought $100 million worth of stock in the ARKB ETF, and it’s only one state. It is expected that sovereign wealth funds, pension funds and national treasuries will invest in Bitcoin in the near future.