Spot Bitcoin ETFs See $300 Million in Inflows as BTC Price Nears $65,000

Ruholamin Haqshanas

Last updated:

July 16, 2024, 03:00 EDT | 2 min read

Spot Bitcoin exchange-traded funds (ETFs) saw $301 million in inflows on Monday as the leading cryptocurrency continues to maintain its bullish momentum.

According to data from SoSoValue, BlackRock’s IBIT, the largest by net asset value, led the pack with $117.25 million in net inflows, accompanied by Ark Invest and 21Shares’ ARKB closely following at $117.19 million.

Among other notable contributors, Fidelity’s FBTC saw $36.15 million in net inflows, while Bitwise’s BITB recorded $15.24 million.

ETFs from VanEck, Invesco, Galaxy Digital, and Franklin Templeton also reported positive net inflows.

However, Grayscale’s GBTC and ETFs from Valkyrie, WisdomTree, and Hashdex recorded no net flows for the day.

Spot ETFs See $2.26B in Trading Volume

In total, the trading volume for U.S. spot Bitcoin funds reached $2.26 billion on Monday, although it remains lower than the peak volumes seen in March, which often exceeded $8 billion per day.

Since their launch in January, these ETFs have collectively accumulated net inflows amounting to $16.11 billion, underscoring growing investor interest in Bitcoin amid its price recovery.

Speaking of price, Bitcoin surged above $64,000 and is currently trading at $63,400.

Matteo Greco, Research Analyst at Fineqia International, noted that the past week has been particularly bullish for Bitcoin.

The cryptocurrency ended the week at around $60,800, marking an 8.8% increase from the previous week’s close.

This rise was supported by consistent daily net inflows into BTC Spot ETFs, which exceeded $1 billion for the week, with Friday alone seeing a high of $310 million in inflows.

Greco highlighted that Fidelity’s FBTC surpassed $10 billion in assets under management (AUM), joining BlackRock’s IBIT and Grayscale’s GBTC in this milestone.

Collectively, BTC Spot ETFs now manage over $51.3 billion in assets, representing more than 4.5% of the total Bitcoin supply.

Despite robust inflows, trading volumes, at $6.9 billion for the week, remained slightly below average since inception but showed an uptick compared to recent weeks.

Spot Ether ETFs Could be on the Horizon

Meanwhile, there’s anticipation in the market regarding the imminent launch of Ethereum (ETH) Spot ETFs, with expectations high for SEC approval possibly within July.

Analysts foresee strong inflows into ETH Spot ETFs, mirroring the success seen with BTC, albeit adjusted for the differing market dynamics between Bitcoin and Ethereum.

“Following the success of BTC Spot ETFs, strong inflows are expected for ETH Spot ETFs, adjusted for the market cap difference between BTC and ETH,” Greco wrote.

“Despite differing market conditions, ETH Spot ETFs may also see outflows from Grayscale Ethereum Trust, similar to what happened with GBTC. This comparable scenario will provide more reliable insights to analyse the impact of ETH Spot ETFs launch.”

As reported, digital asset investment products saw inflows totaling $1.44 billion last week, pushing year-to-date inflows to a staggering $17.8 billion, far exceeding the $10.6 billion recorded in all of 2021.

Notably, the price of Bitcoin recovered above $62,000 over the weekend amid a broader crypto market rally.

The leading cryptocurrency began its rally soon after the assassination attempt of the former US President and the current Republican presidential candidate Donald Trump.

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