Spot Bitcoin ETF Flows Return to Positive Territory
07/03/2024 03:31The 11 funds tracking bitcoin's price have generated inflows for five straight days amid sluggish trading.
Spot bitcoin ETFs are again pulling in cash steadily from investors, generating daily inflows for five consecutive days including Monday's $129.5 million take.
That was the highest one-day mark since June 12 for the 11 spot bitcoin exchange-traded funds that have brought in $270 million over the five-day period, according to data from U.K.-based asset manager Farside Investments. The gains, while small compared with the billions that have poured in since the funds' January approval, have come as inflation appears to slow and bitcoin's price stabilized after a late June tumble.
The Fidelity Wise Origin Bitcoin Fund (FBTC) led flows Monday with $65 million, followed by the Bitwise Bitcoin ETF BITB, which added more than $41 million in investment.
The investment was a reversal from the latter part of June when outflows totaled more than $1.3 million.
"US #Bitcoin ETF flows have mostly stagnated," wrote Bloomberg ETF Analyst James Seyffart in an X post Tuesday. "Not seeing tons of inflows, not seeing tons of outflows."
Although he noted that total inflows remained a "very healthy $14.7 billion for the 11 funds that began trading earlier this year," Seyffart added that daily "trading volume for the group is definitely on a downtrend. The group hasn't hit $3 billion since mid May."
The BlackRock Bitcoin Trust (IBIT), which has led the spot ETF inflow derby by a wide margin in the six months since the first funds listed, registered zero inflows on Monday and has garnered a tepid $124 million since June 10, about the time that bitcoin's price started to tail off dramatically.
The Grayscale Bitcoin Trust (GBTC), which is now neck-and-neck with IBIT for most assets, also had zero flows.
Bitcoin was recently trading near $62,000 after dipping below $59,000 at one point last month, according to crypto markets data provider CoinMarketCap.