As a crypto investor with some experience in the market, I’ve seen my fair share of ups and downs. The recent trend of outflows from US spot Bitcoin ETFs, led by Grayscale’s GBTC, is concerning. With $90 million in outflows last week alone, it’s clear that investors are becoming increasingly risk-averse.
As a researcher studying the Bitcoin Exchange-Traded Fund (ETF) market in the United States, I’ve observed an intriguing trend: Grayscale’s GBTC has been leading the charge during recent waves of outflows from US spot Bitcoin ETFs. On Monday alone, these ETFs experienced a collective daily net outflow amounting to $174.45 million.
Last week saw a string of successive net withdrawals totaling $90 million, with Grayscale’s GBTC being responsible for the majority of these outflows.
No Inflows Across Spot Bitcoin ETFs
It’s intriguing to note that BlackRock’s IBIT and various Bitcoin ETFs from Valkyrie, WisdomTree, and Hashdex didn’t receive any investments yesterday, based on information provided by SosoValue. No inflows were registered for these funds.
Grayscale’s flow led to $35 million and $21 million in withdrawals for Fidelity’s FBTC and Franklin Templeton’s EZBC on the 24th of June, respectively. VanEck’s HODL experienced a $10 million outflow, while Bitwise’s BITB recorded a $8 million withdrawal during the same timeframe.
As a researcher examining recent trends in investment flows, I’ve discovered that Ark Invest and 21Shares’ ARKB fund experienced an outflow of approximately $7 million. Similarly, Invesco and Galaxy Digital’s BTCO fund reported an outflow of around $2 million.
Since its mid-January transformation, GBTC has experienced a significant outflow of approximately $18 billion. On the other hand, other ETFs have successfully drawn in substantial funds during this period, with some surpassing others. Among them, IBIT stands out as the frontrunner, having attracted around $18 billion in investments over the previous six months.
During the same time period, FBTC recorded $9 billion in new investments, coming in second place. ARKB and BITB ranked third and fourth, respectively, with each bringing in approximately $2 billion in inflows.
Bitcoin has experienced significant stress recently and is presently around the price mark of $61,200. This point is important because some analysts predict that a decline from here could lead to further selling.
Outflows to Continue?
As a financial analyst, I’ve observed that over $14 billion has been invested in Bitcoin spot ETFs since January 11, with an average purchase price hovering around $60,600. However, it’s important to note that current investors have yet to realize any profits. Should Bitcoin fail to surpass the $60,5k mark, we may witness further outflows from these ETFs.
As a crypto investor, I believe the rapid sell-offs could primarily be driven by anxious retail investors rather than composed institutional ones.
As a crypto investor, if Bitcoin prices fail to hold above $60.5k, I anticipate an increase in outflows. The majority of investors in this space are retail Degens, not institutional wealth managers or hedge funds. These players tend to act on short-term momentum and often panic sell when faced with losses.
Read More
- W PREDICTION. W cryptocurrency
- AAVE PREDICTION. AAVE cryptocurrency
- PENDLE PREDICTION. PENDLE cryptocurrency
- ZETA PREDICTION. ZETA cryptocurrency
- AEVO PREDICTION. AEVO cryptocurrency
- FutureNet Co-Founder Roman Ziemian Arrested in Montenegro Over $21M Theft
- BRISE PREDICTION. BRISE cryptocurrency
- GBP CAD PREDICTION
- WOO PREDICTION. WOO cryptocurrency
- WELT PREDICTION. WELT cryptocurrency
2024-06-25 15:08