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Bitcoin: so far this year, ETFs have already raised $1.6 billion

Bitcoin: so far this year, ETFs have already raised $1.6 billion
February 9, 2024 – 09:51

These new ETFs, launched since January 11, have seen an average of $1.9 billion in inflows over the past 4 weeks, totaling $7.7 billion. Despite these figures, existing issuers have recorded outflows totaling 6 billion.

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After the recent approval of spot Bitcoin (BTC) exchange-traded funds (ETFs), the dust generated seems to have settled. According to the latest CoinShares weekly report, last week it experienced significant inflowsadding a total of US$708 million in cryptocurrency investment products.

This brings accumulated inflows so far this year to $1.6 billion, contributing to the increase in global assets under management, which now stand at $53 billion.

Although trading volumes in exchange-traded products (ETPs) decreased to $8.2 billion, compared to $10.6 billion the previous week, they remain significantly above the weekly average of $1.5 billion in 2023. These volumes represent 29% of total BTC trading on trusted exchanges.

In the US market, there is constant attention, with significant inflows of US$721 million last week and US$1.7 billion in newly issued ETFs. These new ETFs, released since January 11, have experienced an average inflow of US$1.9 billion in the last 4 weeks, totaling US$7.7 billion. Despite these figures, existing issuers have recorded outflows totaling 6 billion.

ETFs: one by one, the ones that raised the most money

It is worth highlighting the success of iShares Bitcoin Trust (IBIT) by BlackRock, which has raised $3.2 billion since its launch in January, consolidating itself among the global ETF leaders. According to Balchunas data, the only funds that have surpassed IBIT in inflows this year are the iShares and Vanguard ETFs that offer exposure to the S&P 500 or the broader market.

“The data highlights a significant reduction in momentum for these outflows in recent weeks,” said James Butterfill, head of research at CoinShares.

In another vein, Solana (SOL) led inflows with $13 million last week, surpassing Ethereum (ETH) and Avalanche (AVAX), which recorded outflows of $6.4 million and $1.3 million respectively. .

Blockchain stocks saw net outflows of $147 million from one issuer last week, although this was offset by inflows of $11 million from other issuers. Experts continue to debate how ETFs could impact Coinbase, one of the top listed cryptocurrency stocks.

Source: Ambito

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