On October 11, U.S.-based spot Bitcoin exchange-traded funds (ETFs) recorded impressive net inflows totaling $253.6 million, marking a turnaround after three consecutive days of outflows. This surge coincided with a rally in Bitcoin prices, which reached a local high of $63,360 before settling at $62,530, according to CoinGecko data.
The Fidelity Wise Origin Bitcoin Fund emerged as the frontrunner with a substantial net inflow of $117.1 million. Following closely was the ARK 21Shares Bitcoin ETF, which saw $97.6 million in inflows. The Bitwise Bitcoin ETF also had a noteworthy day, bringing in $38.8 million, its largest influx in the past 11 trading sessions. Other ETFs like the Invesco Galaxy and VanEck Bitcoin ETFs also benefited from the positive trend.
Interestingly, BlackRock’s iShares Bitcoin Trust (IBIT) recorded no inflows on this day, which was significant given that it marked the third-largest combined inflow day without contributions from IBIT. In contrast, the Grayscale Bitcoin Trust faced another setback, bleeding $22.1 million.
The overall inflow of $253.6 million more than compensated for the $140 million that exited Bitcoin ETFs from October 8 to 10. This renewed interest from investors reflects a growing confidence in the market.
Despite IBIT's lack of inflows on October 11, BlackRock continues to lead the spot Bitcoin ETF landscape with total net inflows of $21.7 billion. Fidelity is close behind, just $15 million short of reaching the $10 billion milestone. Meanwhile, ARK 21Shares and Bitwise are the only other issuers with net inflows exceeding $2 billion.
Currently, total net inflows across all spot Bitcoin ETFs stand at $18.9 billion, which is overshadowed by over $20 billion in outflows from the Grayscale Bitcoin Trust.
In stark contrast to Bitcoin, the flows for U.S.-based spot Ethereum ETFs are struggling. Seven out of nine ETH tickers recorded zero inflows on October 11, marking the third occurrence of this trend in just five trading days. The combined spot Ether ETFs faced a negligible net outflow of $0.1 million, with the only inflow coming from the Fidelity Ethereum Fund. The Grayscale Ethereum Trust experienced an $8.7 million outflow, continuing its downward trajectory.
The lack of demand for Ethereum ETFs has been attributed to several factors. Bobby Zagotta, Bitstamp’s CEO for the Americas, noted that many investors are currently in a "wait-and-see" mode due to uncertainties surrounding upcoming elections, regulatory developments in the U.S., and broader sociopolitical issues.
Moreover, some analysts believe that Wall Street investors may not fully grasp Ethereum’s complex technical roadmap, making it challenging for them to understand the cryptocurrency's value proposition.
As the market evolves, all eyes will remain on both Bitcoin and Ethereum ETFs to gauge how investor sentiment shifts in the coming weeks.
October 2024, Cryptoniteuae