Bitcoin ETFs Witness Inflows as Digital Asset Products Experience Outflows
Spot Bitcoin ETFs saw a total net inflow of $129 million on July 1, marking the fifth consecutive day of positive flows for these funds. Fidelity’s FBTC led the inflows with $65 million, followed by Bitwise’s BITB with $41 million, and Ark Invest and 21Shares’ ARKB with $13 million. On the other hand, digital asset investment products as a whole experienced outflows for the third straight week, totaling $30 million. Grayscale reported outflows of $153 million, while trading volumes for digital asset products rose by 43% week-on-week to reach $6.2 billion.
Bitcoin ETFs Inflow Breakdown
- Spot Bitcoin ETFs had a total net inflow of $129 million on July 1.
- Fidelity’s FBTC received the highest inflow of $65 million on Monday.
- Bitwise’s BITB followed with $41 million in net inflows.
- Ark Invest and 21Shares’ ARKB reported $13 million in net inflows.
- Invesco, Galaxy Digital, VanEck, and Franklin Templeton also saw minor inflows.
Digital Asset Products Outflows Overview
- Digital asset investment products experienced outflows for the third consecutive week.
- Outflows amounted to $30 million, with CoinShares reporting that the rate of outflows decreased compared to previous weeks.
- Grayscale reported outflows of $153 million, while trading volumes for digital assets rose by 43% week-on-week.
Geographical Trends
- The United States, Brazil, and Australia experienced inflows, while Germany, Hong Kong, Canada, and Switzerland saw outflows.
- Geographically, the United States, Brazil, and Australia all experienced inflows of $43 million, $7.6 million, and $3 million, respectively.
- Germany, Hong Kong, Canada, and Switzerland saw outflows of $29 million, $23 million, $14 million, and $13 million, respectively.
Analysts’ Outlook on Bitcoin in July
Analysts from QCP Capital are optimistic about Bitcoin’s performance in July due to positive seasonality. They noted that BTC typically sees a median return of 9.6% in July and tends to bounce back strongly after a negative June. QCP Capital suggested considering a BTC Accumulator trade with an expiry of 20SEP24, aiming to benefit from the expected bullish momentum in the coming month.
Hot Take: Bitcoin ETFs Thriving While Digital Asset Products Struggle
In summary, Bitcoin spot ETFs are experiencing significant inflows, with Fidelity’s FBTC leading the way. On the flip side, digital asset investment products are facing outflows, albeit at a decreased rate. With geographical variations in fund flows and analysts’ bullish outlook on Bitcoin in July, the crypto market is witnessing interesting dynamics in fund movements and investor sentiment.
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