Bitcoin
Grayscale Spot Bitcoin ETF Sees Second Day of Consecutive Inflows
Grayscale’s Bitcoin Trust (GBTC) experienced a second consecutive day of net inflows, marking a notable turnaround from outflows exceeding $17.5 billion since the introduction of spot Bitcoin (BTC) ETFs in January.
According to data provided by Farside Investors, GBTC, which stands as the world’s largest spot Bitcoin ETF, recorded inflows of $3.9 million on May 6. While this number pales in comparison to the inflow of capital from others such as the Fidelity Wise Origin Bitcoin Fund (FBTC), it was enough to earn GBTC its second consecutive day of net inflows.
For context, Grayscale’s Bitcoin Trust recorded its first net inflow in over three months on May 3, following a series of consecutive outflows that saw it bleed most of its Bitcoin balance and continually impacted daily spot market performance. broader Bitcoin ETF.
Notably, GBTC had been experiencing net outflows, resulting in a 33% loss of its Bitcoin holdings, since converting its Bitcoin Trust into an ETF on January 10, as reported by crypto.news.
With the Grayscale Bitcoin ETF now contributing to net inflows, spot Bitcoin ETFs saw over $378.3 million in inflows on May 3 and a total of $217 million in inflows on May 6. with GBTC also among taxpayers.
On May 6, top performers included FBTC and Ark 21Shares Bitcoin ETF (ARKB), recording inflows of $99.2 million and $75.6 million, respectively. The BlackRock iShares Bitcoin Trust (IBIT) recorded an inflow of $21.5 million.
According to Bloomberg analyst Eric Balchunas, the spot ETF market is expected to witness a combination of capital inflows and outflows over time. He highlights that funds generally have two main characteristics: continuous growth and a strong and committed investor base.
For the first time, 1D flows all green, no red for Bitcoin Bunch. I’m not going to pump up the football like some did during the exit period, but I will point out that over 95% of investors in ETFs HOLD-ed during what was a pretty nasty and persistent recession. The same will happen next… pic.twitter.com/3l3uwwmqGy
-Éric Balchunas (@EricBalchunas) May 6, 2024
Entries are reflecting Bitcoin (Bitcoin) recent performance, which has registered some downward trends in recent days. Bitcoin fell to $57,000 before recovering and exceeding $65,000 in market value. However, BTC is down 1.59% in the last 24 hours and is trading at $64,400 at the time of writing.