Bitcoin ETFs extend rally as two-day gains close to $1 billion
Spot bitcoin (BTC) exchange-traded funds (ETFs) recorded an inflow of nearly $1 billion after the cryptocurrency recovered 80,000.
Bitcoin ETF posted inflows of $467.4 million on Tuesday as BTC rose above $81,000, extending Monday's $532 million inflows, according to SoSoValue data, bringing the two-day total to over $999 million.
The latest inflows followed April's $1.97 billion total net inflows, indicating strong demand as Bitcoin's recovery continues.
As of May 1, the funds have attracted a total of $1.63 billion in inflows, bringing cumulative income to $59.7 billion and total assets under management of nearly $109 billion, the highest level this year.
The Daily Spot Bitcoin ETF will flow from Friday. Source: SoSoValue
The outflows came as Strategy Executive Chairman Michael Saylor hinted at potential bitcoin sales to meet corporate obligations, a clear departure from the long-standing “Bitcoin is not selling” message.
Bitcoin ETFs show resistance with an 8% outflow and a 50% BTC decline
The resilience in Bitcoin ETFs comes after a roughly 50% decline in bitcoin over the course of the cycle, while ETFs saw an 8% outflow of assets, Bloomberg ETF analyst Eric Balchunas said.
In an interview on Roxam TV on Tuesday, the analyst pointed to the role of distribution networks, saying that Wall Street wholesalers have effectively opened up the product structure.
“Don't underestimate the firepower of Wall Street wholesalers,” he said of the flows.
Source: Eric Balchunas
The volatility suggests that ETFs have helped stabilize investors' access to Bitcoin by maintaining demand flowing through traditional financial channels even in volatile conditions.
Altcoin ETFs pick up steam with gains in ETH, XRP, SOL and DOGE.
According to SoSoValue, the positive trend extended to altcoin ETFs, with the Ether (ETH) currency posting $97.6 million in inflows on Tuesday.
XRP funds gained $11.3 million, while Solana (SOL) ETFs posted minimal gains of $1.7 million.
Related: Crypto Commodities Post 5th Straight Week of Gains Despite Midweek Selloff
Dogecoin (DOGE) ETFs have surged above $400,000, marking their first gains since April 27. The move brought DOGE's total revenue past $10 million, with total assets under management reaching $14 million.
Magazine: Bitcoiners Eye ‘Sell in May,' SBF Bids Closed for New Trial: Hodler's Digest, April 26 – May 2
