Bitcoin
Bitcoin ETFs Raise $217 Million for Second Consecutive Day of Net Gains
Bitcoin Exchange Traded Fund (ETF) Did the fever come back? It seems so. After a a slow few weeks exits, investors are back investing money in products.
Yesterday, all funds were in the green, with positive entries. A total of $217 million went into the newly approved products on Monday, according to with data from investment management company Farside Investors.
The same goes for trading day before that— on Friday — when investors poured a collective $378 million into the funds.
Shift in investor sentiment comes after Bitcoin ETFs had their worst day on record last week, when more than half a billion dollars left the funds.
There have been some headwinds plaguing Bitcoin ETFs. Investors fear the Federal Reserve will be slow to cut interest rates this year due to sticky U.S. inflation. There has also been a wave of hype about BTC and geopolitical factors such as the war in the Middle East, making investors cautious when approaching an asset as risky as Bitcoin.
But on Friday news emerged that the unemployment rate for April was higher than expected – which could lead the Fed to cut interest rates.
Since then, product entries have been positive for the first time since launch. Previously, there were days when most funds received inflows, but the collective data was always undercut by Grayscale’s Bitcoin Trust (GBTC). facing outflows every day.
But yesterday was the second day since its conversion to an ETF that investors put money into the fund.
The US Securities and Exchange Commission finally authorized 11 Bitcoin ETFs in January, after more than a decade of denials. The new ETF category has been hugely successful – sucking up billions of dollars – as everyday investors enter the crypto space.
Bitcoin Price it hit a new all-time high of $73,747 in March but has since struggled, falling below $57,000 last week.
The largest digital asset by market cap is on the rise right now and trades at nearly $64,000 per coin, CoinGecko shows.
Edited by Stacy Elliott.