Spot Bitcoin ETFs Draw Investor Interest Despite August Flows
Bitcoin exchange-traded funds (ETFs), based in the United States, continue to attract investor interest despite an early exit in August.
In the year On August 16, data from Soso Value showed that total weekly net inflows for spot Bitcoin (BTC) ETFs reached $32.58 million, in contrast to flows seen in previous weeks. In the year On August 2, net inflows into spot Bitcoin ETFs were $80.69 million, while on August 9, outflows reached $169 million.
Mixed signals in the Bitcoin market
However, total net inflows for the spot Bitcoin ETFs on Aug. 16 were $36 million, despite a $72.9 million withdrawal from Grayscale Bitcoin Trust on the same day. While GBTC is experiencing a steady cash flow, other places Bitcoin ETFs are seeing regular inflows.
SoSoValue data showing an overview of market dynamics from June 7 to August 16. Source: SoSoValue
According to the data, the historical net flow from GBTC stands at 19.6 billion dollars. In contrast, the Greyscale Bitcoin Mini Trust ETF saw no net inflows on Aug. 16, maintaining a total net inflow of $288 million.
The decline in GBTC's fortunes coincides with NYSE Arca's decision to pull back a proposed rule change that would have allowed trading of GBTC and similar cryptocurrency ETFs.
Loyalty and Blackrock leader
The Fidelity Bitcoin Fund ETF recorded the highest net inflow on August 16, at $61.3 million. That brings its total historical revenue to $9.8 billion.
Related: Advisor holdings in Bitcoin ETFs rise, hedge fund stakes dip – Coinbase
BlackRock's iShares Bitcoin Trust ETF saw a record high of $20.38 million on the same day, bringing its all-time total to $20.38 billion.
The continued positive inflows to spot Bitcoin ETFs come at a time when their total net assets are $54.35 billion. The ETF's net asset ratio, which represents the market capitalization of ETFs as a percentage of the total market capitalization of Bitcoin, currently stands at 4.65 percent.
Historical cumulative net income reached $17.37 billion, further demonstrating the acceptance and integration of BitBitcoin ETFs into the broader investment landscape. An August 14 US Securities and Exchange Commission filing shows that Morgan Stanley holds $188 million worth of shares in the Bitcoin ETF.
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