The daily inflow for Bitcoin ETFs on March 28th was significant, reaching $183 million. This brought the total inflow to an impressive $12.13 billion, as per data from SoSo Value. Institutional investors demonstrate increasing interest in Bitcoin. BlackRock’s iShares Bitcoin ETF led with a $95.12 million inflow. Closely behind, Fidelity’s Wise Origin Bitcoin Fund attracted $69.09 million. This trend underscores major financial firms embracing cryptocurrency.
However, the reality isn’t entirely favorable. Grayscale’s Bitcoin Trust, a powerful entity before ETFs, continues facing net withdrawals. On March 28th, specifically, around $105 million exited the product. This could signify investors preferring more flexible, transparent ETF structures.
While spot Bitcoin ETFs successfully launched, it’s crucial to recognize trading volumes moderation. Cumulative volumes peaked in early March, then steadily declined, currently around $177.9 billion, according to the data from The Block. This period signals potential investor position reassessment and consolidation.
Bitcoin ETFs Amass 500K BTC Valued At $35B
Despite the volume slowdown, spot Bitcoin ETFs’ assets under management (AUM) and on-chain holdings remained steady after reaching their peak earlier this month. Since January, nine new spot Bitcoin ETFs have collectively amassed an impressive 500,000 BTC.
These Bitcoin ETFs now constitutes 2.54% of the total Bitcoin supply in circulation, valued at a substantial $35 billion – all within a mere 54 trading days, according to Farside Investors. Such rapid accumulation underscores the growing institutional commitment to Bitcoin as a viable investment option.
The total spot Bitcoin holdings across all funds have reached a substantial 835,000 BTC, accounting for approximately 4% of the total supply. Notably, ETF inflows have rebounded to $845 million this week, reversing a concerning trend of outflows observed since March 18th. This positive development signifies a renewed confidence in the cryptocurrency market.
On March 28th, BlackRock’s IBIT fund emerged as the clear frontrunner, attracting a sizable $95 million inflow. Fidelity and Bitwise also experienced substantial investments, each garnering approximately $67 million. Additionally, Ark 21Shares saw a notable $27.6 million inflow, following a remarkably strong $200 million surge the previous day, Wednesday.
Introducing an additional intriguing element, Bitwise submitted an S-1 application for an Ethereum ETF on March 28th. Nonetheless, ETF expert Eric Balchunas maintains a cautious outlook, expressing scepticism regarding a May approval. He attributes only a 25% probability of success and cautions about the possibility of further setbacks due to the SEC’s lack of clear communication on this matter.
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