Spot Bitcoin ETFs Reach $1 Billion in Daily Trading Volume, BlackRock Leads the Way
The total daily trading volume of spot Bitcoin exchange-traded funds (ETFs) has surpassed $1 billion, with BlackRock’s IBIT Bitcoin ETF taking the top spot. Bloomberg Intelligence analyst James Seyffart highlighted the impressive performance of BlackRock’s fund, which recorded a daily trading volume of $341.2 million, surpassing Grayscale Bitcoin Trust. Fidelity’s FBTC fund secured third place with a trading volume of $200 million. While crossing the $1 billion threshold is noteworthy, Seyffart noted that it may not be considered a significant achievement for Bitcoin ETFs.
Inflows into Spot Bitcoin ETFs Continue to Outpace Outflows from Grayscale Bitcoin Trust
Not only did spot Bitcoin ETFs see impressive trading volumes, but they also attracted inflows that outpaced outflows from Grayscale Bitcoin Trust for the ninth consecutive day. Preliminary data showed that GBTC experienced $81 million in outflows, while the nine spot Bitcoin ETFs attracted $226 million in inflows. This resulted in net flows of $145 million. BlackRock, Fidelity, and Bitwise were among the funds that saw significant inflows.
Spot ETFs’ BTC Holdings Close to Surpassing MicroStrategy’s Stash
The combined Bitcoin holdings of the newly launched spot Bitcoin ETFs are on track to surpass those of MicroStrategy, the largest corporate holder of the asset. As of February 7, the ETF funds held approximately 187,000 BTC, while MicroStrategy possessed 190,000 coins. Investor and author Fred Krueger highlighted the growing popularity of ETFs and their impact on various asset classes.
Conclusion: Spot Bitcoin ETFs Gain Momentum
The trading volume and inflows of spot Bitcoin ETFs demonstrate the increasing interest in these investment vehicles. While BlackRock’s IBIT leads the pack in terms of trading volume, other funds like Fidelity’s FBTC are also seeing significant activity. Additionally, the combined BTC holdings of spot ETFs are on the verge of surpassing MicroStrategy’s stash. This indicates that ETFs are becoming a preferred choice for investors looking to gain exposure to Bitcoin. As the popularity of spot Bitcoin ETFs continues to grow, it remains to be seen how they will impact the overall cryptocurrency market.
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