Spot Bitcoin ETFs See Strong Inflows of $817 Million as BTC Drops 2.3%
- U.S. spot bitcoin ETFs saw record inflows, with $1.93 billion into BlackRock’s IBIT alone, amid a crypto market surge and high trading volumes.
- Ethereum ETFs in the U.S. reached $135.9 million in net inflows, led by BlackRock’s ETHA, marking a positive shift in investor interest.
- Despite inflows, bitcoin’s rally paused, dipping 3.4% after peaking at $90,000, while ethereum fell 7.35%, signaling market volatility.
Spot bitcoin and ethereum exchange-traded funds (ETFs) in the U.S. have experienced significant inflows over recent days, with investors pouring billions into these crypto funds. On Tuesday alone, bitcoin ETFs recorded $817.5 million in net inflows, following a strong $1.1 billion the previous day.
Notably, the daily trading volume for the 12 bitcoin ETFs reached $5.7 billion on Tuesday, compared to $7.3 billion on Monday and $2.8 billion last Friday, according to recent data from SoSoValue. This level of trading activity and capital inflow suggests a heightened interest in cryptocurrency funds.
📊 Bitcoin ETF Tracker | 2024-11-12
🟩 Daily Total Net Inflow +$817.54M
💰 Total Value Traded $5.72B
🏦 Total Net Assets $94.02B
📊 ETF Market Value Ratio 5.31%🥇 Net Inflows/Outflows for Each ETF
🟩 IBIT +$778.27M
🟩 FBTC +$37.20M
🟩 BTC +$15.08M
🟩 HODL +$10.13M
⬜️… pic.twitter.com/sVRdU8EjJL— SoSoValue Research (@SoSoValue) November 13, 2024
BlackRock and Fidelity Lead the Inflows
Among the funds, BlackRock’s IBIT ETF led the market with an impressive $778.3 million flowing in on Tuesday, boosting its total weekly inflows to $1.93 billion. Fidelity’s FBTC ETF followed, drawing $37.2 million.
Meanwhile, Grayscale’s Mini Bitcoin Trust and VanEck’s HODL also attracted over $10 million in inflows each. The substantial inflows are taking place amid a broader cryptocurrency rally, which has seen bitcoin reaching new price heights over the past week. At one point, the digital asset breached the $90,000 mark before pulling back slightly on Wednesday.
Additionally, Grayscale’s GBTC, the second-largest spot bitcoin ETF by net assets, diverged from the trend, experiencing $17.8 million in outflows on Tuesday. The Ark and 21Shares ARKB also recorded net outflows of $5.4 million. Despite these few outliers, the overall surge in inflows suggests robust investor confidence in bitcoin ETFs, even with fluctuations in bitcoin’s market price.
Ethereum ETFs Follow Bitcoin’s Momentum
Conversely, Ethereum spot ETFs have also seen increased investor interest. Net inflows for U.S.-listed spot ethereum ETFs reached $135.9 million on Tuesday, marking the second-highest daily inflow since their launch. BlackRock’s ETHA led the ethereum ETF market with $131.5 million in inflows, while Bitwise’s ETHW received nearly $17 million.
Grayscale’s Mini Ethereum Trust added $12.7 million in new investments.Not all ethereum ETFs benefited from this trend. Grayscale’s ETHE ETF, for instance, saw outflows totaling $33.2 million, indicating some investors chose to exit rather than increase their positions.
Nonetheless, the nine spot ether ETFs have collectively posted positive flows for the first time since launching, with cumulative flows reaching $94.62 million. This is a major shift from the previous month when the funds collectively posted negative flows of $686 million.
Outlook Remains Cautious Amid Volatile Market
However, although the recent inflows indicate growing interest in crypto ETFs, volatility remains a factor. Bitcoin’s rally showed signs of slowing, with a 2.3% drop over the past 24 hours. Prices dipped below $86,545 after peaking above $90,100, indicating potential profit-taking among large investors.
Ethereum mirrored this trend, falling 7.35% to trade at $3,142. Analysts suggest that market fluctuations may persist, with upcoming economic data releases potentially adding further volatility.
