Bitcoin ETFs See Positive Inflows Following Recent Decline

Following a week of significant outflows totaling $887.6 million from March 18 to March 22, 2024, U.S. spot bitcoin exchange-traded funds (ETFs) have rebounded with four consecutive days of positive inflows.

Data from March 25 to March 28 show a resurgence, with inflows totaling $859.7 million, nearly offsetting the previous losses. Notably, on March 28, FBTC, BITB, ARKB, and IBIT led the resurgence in U.S. spot bitcoin ETF inflows, with Blackrock’s IBIT holding the most substantial BTC reserves, valued at approximately $17.77 billion. Fidelity’s FBTC, Ark Invest’s ARKB, and Bitwise’s BITB ETF also hold significant BTC reserves, contributing to the positive trend observed in the market. However, Grayscale’s Bitcoin Trust (GBTC) experienced a reduction in holdings by 7,453.75 BTC worth $525 million in the 24 hours leading up to March 28, indicating divestiture during that period.

Amidst these fluctuations, the resilience of U.S. spot bitcoin exchange-traded funds (ETFs) reflects ongoing investor interest and confidence in the cryptocurrency market. Despite the recent outflows, the subsequent positive inflows signify a swift recovery, with major ETFs like FBTC, BITB, ARKB, and IBIT leading the resurgence. With Blackrock’s IBIT holding the most substantial BTC reserves among them, valued at approximately $17.77 billion, and other prominent ETFs like Fidelity’s FBTC and Ark Invest’s ARKB also contributing significantly, the market continues to show robust activity. However, the reduction in holdings observed in Grayscale’s Bitcoin Trust (GBTC) during the same period highlights potential shifts in investment strategies, underscoring the dynamic nature of the cryptocurrency market.

Clever Robot News Desk 1^st April 2024