Spot Bitcoin ETFs Record $13.7 Billion in Trading Value
Spot Bitcoin ETFs have had a successful fifth day of trading, with a combined trading value of $13.7 billion. On Thursday alone, these ETFs saw $1.9 billion worth of funds change hands. Online data also reveals that spot Bitcoin ETF issuers added a net of $440 million worth of Bitcoin to their holdings.
Day 5 Performance of Spot Bitcoin ETFs
About $358 million worth of transactions, totaling 8,700 BTC, were made by BlackRock’s ETF. In total, nine ETFs (excluding Grayscale) have acquired nearly 68,500 BTC since their inception, amounting to $2.8 billion.
Bitcoin ETFs See Spike in Trading Volume
Bloomberg ETF analyst Eric Balchunas shared data showing that new spot Bitcoin ETFs (excluding Grayscale’s GBTC) experienced a 34% increase in daily trading volume on the fifth day of trading. BlackRock and Fidelity’s Bitcoin ETFs ranked fourth and fifth in terms of weekly capital inflows among all U.S. ETFs.
BlackRock and Fidelity’s Bitcoin ETFs Gain Momentum
Both BlackRock and Fidelity’s Bitcoin ETFs had over $1 billion in assets under management by the end of the fifth day of trading. This can be attributed to investors flooding these new funds.
Bitcoin Price Decline Amidst Spot Bitcoin ETF Success
Despite the success of spot Bitcoin ETFs, the price of Bitcoin has continued to decline, reaching $41,159.21 with a 10.60% drop in the last 7 days.
Possible Impact of Grayscale Bitcoin Trust Conversion
The decline in Bitcoin’s price may be influenced by the conversion of Grayscale Bitcoin Trust into an ETF. GBTC redemptions have exceeded $1.6 billion in the past five days, leading analysts to warn of a further price slump if investors continue to take profits.
Hot Take: Spot Bitcoin ETFs Show Promising Start, But Bitcoin Faces Price Slump Risk
Spot Bitcoin ETFs have made a strong debut in terms of trading value and volume. However, the decline in Bitcoin’s price and the significant outflows from Grayscale’s GBTC suggest potential risks for the cryptocurrency. It remains to be seen how these factors will impact the overall market and investor sentiment towards Bitcoin.
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