TLDR
- US-listed spot Bitcoin ETFs saw over $650 million in inflows over three trading days since July 5.
- BlackRock’s iShares Bitcoin Trust (IBIT) now holds over $18 billion in Bitcoin.
- Grayscale’s Bitcoin Trust (GBTC) continues to see outflows, totaling over $18.6 billion since launch.
- Germany’s federal criminal police (BKA) has been selling large amounts of seized Bitcoin.
- Bitcoin’s price has remained below $60,000 since July 4, trading around $59,200 as of the latest update.
The cryptocurrency market has been buzzing with activity as US-listed spot Bitcoin exchange-traded funds (ETFs) continue to attract significant investments.
Over the past three trading days since July 5, these ETFs have seen inflows totaling more than $650 million, signaling growing interest from institutional and retail investors alike.
Leading the pack is BlackRock’s iShares Bitcoin Trust (IBIT), which has emerged as a dominant player in the Bitcoin ETF space. IBIT now holds over $18 billion in Bitcoin, having experienced consistent inflows since its launch.
On July 9 alone, IBIT attracted $121 million in new investments, contributing to its impressive growth trajectory. Notably, the fund has only seen one day of net outflows since its inception, a testament to its popularity among investors.
🇺🇸 ETFs bought 3,760 #Bitcoin ($216.4m) on July 9 🚀🚀
Highlights:
IBIT +2,100 BTC
FBTC +1580 BTC
ARKB +750 BTC
GBTC -650 BTC pic.twitter.com/z5hLWXQorI— Thomas | heyapollo.com (@thomas_fahrer) July 10, 2024
Following closely behind is Fidelity’s Wise Origin Bitcoin Fund (FBTC), which pulled in $91 million on the same day.
Other funds, such as ARK 21Shares Bitcoin ETF (ARKB) and VanEck Bitcoin Trust (HODL), also saw positive inflows, contributing to the overall bullish sentiment in the crypto ETF market.
However, not all Bitcoin ETFs are experiencing the same level of success. The Grayscale Bitcoin Trust (GBTC), which converted from a closed-end fund to an ETF earlier this year, continues to face challenges.
GBTC recorded $37.5 million in net outflows on July 9, adding to its total outflows of over $18.6 billion since its launch as an ETF.
This ongoing trend highlights the competitive nature of the Bitcoin ETF landscape and the shifting preferences of investors.
The recent surge in ETF inflows comes at a time when Bitcoin’s price has been relatively stable, hovering below the $60,000 mark since July 4.
As of the latest update, Bitcoin was trading around $59,200, showing resilience despite various market factors at play.
One significant development that has been influencing the Bitcoin market is the selling activity of Germany’s Bundeskriminalamt (BKA), the country’s federal criminal police.
The BKA, which seized nearly 50,000 Bitcoin in mid-January as part of a probe into a movie pirating website, has been gradually selling its holdings.
Germany selling all their #Bitcoin will go down as one of the most retarded things their politicians ever did. pic.twitter.com/dLewFC1duv
— Uncle Rockstar Developer (@r0ckstardev) July 9, 2024
Since July 5, the BKA’s wallet has reduced its Bitcoin holdings by more than $850 million, with transactions involving centralized exchanges and market makers.
This selling pressure from the BKA has potentially offset some of the positive impact from the recent ETF inflows. The BKA’s wallet now holds 23,960 Bitcoin, worth approximately $1.4 billion, less than half of the total initially seized.
Despite these various market forces, the overall sentiment surrounding Bitcoin ETFs remains positive.
The continuous inflows into funds like BlackRock’s IBIT and Fidelity’s FBTC suggest that institutional investors are maintaining their interest in gaining exposure to Bitcoin through regulated investment vehicles.
Analysts are closely watching these ETF flows, as they have historically played a significant role in Bitcoin’s price movements.
Some experts believe that the run-up in Bitcoin’s price from $16,000 to its all-time high of around $73,000 earlier this year was largely driven by anticipation and initial enthusiasm for spot Bitcoin ETFs.
