The sell-off in Bitcoin prices last week after the German Government shifted 1,300 BTC has caught many institutional investors on their toes. They all ran for buying the dip and invested in US Spot ETFs instead. Consequently, on Tuesday, 11 spot Bitcoin exchange-traded funds (ETFs) in the US saw a substantial net inflow of $216.33 million. Yet another day of inflows raises the streak to three consecutive days and implies that assets are becoming more bullish on Bitcoin ETFs despite recent volatility.
BlackRock IBIT led the inflows, capturing $121.03mn, making it the largest spot Bitcoin fund in net asset value. Fidelity also had a big week, with net inflows of $90.95 million into the FBTC offering. In addition, inflows were reported from Ark Invest and 21Shares ARKB, with $43.3 million for the VanEck Bitcoin fund—net flows turned positive by the tune of $3.27m. The strength recorded in these asset types was highlighted by data from SoSoValue, pointing towards strong investor faith in such financial instruments.
In contrast, Grayscale’s second-largest Bitcoin ETF, GBTC, had outflows of $37.5 million. The loss was followed by BITB from Bitwise, which registered overall outflows of $4.72 million. However, despite these outflows, the actual market performance for Bitcoin ETFs was positive. This was because some $1.19 billion of value changed hands, causing much trading activity and liquidity in 11 spot Bitcoin funds.
According to the data, these Bitcoin ETFs have gathered total net inflows of $15.27 billion since they launched in January. This significant capital inflow upholds the increasing movement of Bitcoin ETFs into institutional and retail investor repertoire.
According to The Block’s Bitcoin price page, Bitcoin has experienced a 1.58% rise over the last day, reaching $57,162 as of writing. The surge comes after Bitcoin prices dropped to about $54,000 last Friday. The drop was related to the activities of now-defunct crypto exchange Mt. Gox, which began distributing Bitcoin as part of a $9 billion settlement.
Federal Reserve Chairman Jerome Powell said that the labor market seems to be “fully back in balance” after years when they often appeared overheated relative to the economy. The Federal Open Market Committee vice chair made the comment on Thursday morning as investors now await crucial economic data, including initial jobless claims and the June consumer price index.
Further, there is new anticipation for inflows into Spot Bitcoin ETF, with more than usual activity at the crypto market due mainly to US elections coming closer alongside Donald Trump’s latest ‘Halt Crypto Crackdown’ campaign; the narrative comes as investors are eagerly looking ahead of next month, with eyes on Spot Bitcoin ETF flow and an Ethereum ETF approval expected.