‘Nine’ Spot Bitcoin ETFs See $2B Volume for 2nd Straight Day
The nine Bitcoin exchange-traded funds (ETFs) posted a combined trading day of more than $2 billion for the second time as demand and interest heated up from the recent launch.
In a February 27 X post, Bloomberg ETF analyst Eric Balchunas described it as “another high-volume day for the nine” – a bar of ETFs that has turned grayscales on Bitcoin's faith. He noted that BlackRock's ETF hit a new record in daily volume of $1.3 billion, more than most large U.S. stocks.
“I don't know if this is a new normal or a short-term type [algorithm or arbitrage]- related explosion,” he wrote.
BlackRock's iShares Bitcoin ETF (IBIT) saw more than 100,000 individual trades on Feb. 27, up from an average daily trade of 30,000 to 60,000, Balchunas noted.
Also exciting $IBIT has seen over 100,000 private transactions today. Until Tuesday he was doing 30-60k full time. Looks like he got a new gear during press day week. I thought it was louder because of the long week but it did more today so there's that theory pic.twitter.com/YTWp4BosIo
— Eric Balchunas (@EricBalchunas) February 27, 2024
The Fidelity Wise Origin Bitcoin Fund (FBTC) had a daily volume of $578 million, while the ARK 21Shares Bitcoin ETF (ARKB) was the third largest ETF with a trading volume of $204 million.
It's the second day in a row that the nine new ETFs topped $2 billion in daily volume since their Jan. 11 launch.
Trading volume for the nine funds topped $2.4 billion on February 26, beating the record of $2.2 billion set on their first trading day.
Early data from Farside Investors shows that both days figures from Grayscale Bitcoin Trust (GBTC) saw withdrawals of $22.4 million on February 26 and $125.6 million on February 27.
Related: Bitcoin ETFs hit records, $2.4B bleed into gold ETFs so far in 2024
In the year On Feb. 28, ETFStore president Nate Geraci posted a chart showing the size of Greyscale's ETFs falling relative to others.
A good look at GBTC vs non-GBTC spot bitcoin ETF aggregate flows…
It also shows GBTC's $$$ trading volume eroding.
via @Todd_Sohn pic.twitter.com/cCKiTEMvQ2
— Nate Geraci (@NateGeraci) February 27, 2024
Farside's preliminary inflow data shows combined net inflows of ETFs at $574 million on February 27, up from $520 million a day earlier, despite large outflows from Greyscale.
BlackRock's IBIT saw net income of $520 million, while Fidelity's FBTC had $126 million. Bitwise Fund was third with $18.3 million in revenue.
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