The Rise and Pause: US Spot Bitcoin ETFs' Slower Inflows Spark Investor Curiosity
The world of US spot Bitcoin exchange-traded funds (ETFs) has been a rollercoaster of excitement as well as a cautious observation for keen eyes. While the positive streak continues, there seems to be a whisper of change in the air, leaving some to wonder about the shifting sands of investor interest in Bitcoin (BTC).
Despite celebrating three consecutive days of net inflows, the tempo of these inflows has hit the brakes compared to the earlier fervor earlier in the year.
Spot Bitcoin ETFs Flows
According to data from SoSoValue, Thursday witnessed a combined $11.80 million net inflow for the 11 spot Bitcoin ETFs in the US, a significant deceleration from the $31 million inflow seen on Tuesday.
Bitwise’s BITB took the lead on Thursday, drawing in $8 million in net inflows, closely followed by Fidelity’s FBTC with nearly $7 million. Additionally, Franklin Templeton’s spot Bitcoin ETF saw its highest daily net inflow since mid-May at $3.6 million. Invesco and Galaxy Digital’s BTCO and Ark Invest and 21Shares’ ARKB also made notable gains at $3 million and $1.84 million, respectively.
However, Grayscale’s GBTC went against the flow, experiencing net outflows of $11.5 million. Interestingly, the largest spot Bitcoin ETF by asset value, BlackRock’s IBIT, stayed stagnant after a high-volume trading day of $520 million. The remaining ETFs from VanEck, Valkyrie, WisdomTree, and Hashdex maintained equilibrium with no net inflows or outflows.
On the same day, VanEck surprisingly filed for a spot Solana ETF, causing a ripple effect that culminated in a 10% surge in the Solana token price.
Despite these shifts, the total daily trading volume for the 11 Bitcoin ETFs stood at around $920 million on Thursday, marking a significant drop from their peak of over $10 billion in March.
Key Takeaway
Amidst the ebb and flow, it’s crucial to highlight the commendable achievement of sustaining net inflows. Despite the deceleration, these ETFs have managed to accumulate a total net inflow of $14.45 billion since their launch in January. The current scenario points towards a potential change in investor sentiment, with the BTC price holding steady around $61,677. The future remains a curiosity, as we wait to see if investor interest in spot Bitcoin ETFs resurfaces in full force.
