- Bitcoin spot ETFs have now been trading for over a month.
- Within the first month, the investment vehicles have shattered multiple records.
- The underlying asset of the ETF is currently testing over two-year price highs.
Spot Bitcoin ETFs approved by the SEC may not have triggered the parabolic price run many anticipated in the short term, but the raw data suggests that these investment vehicles are off to a great start. After a month of trading, these ETFs have recorded many industry firsts.
Record Run for Bitcoin ETFs
On January 11, spot Bitcoin ETFs went live for trading for the first time in the U.S. There were lingering questions over whether these products could attract significant interest from the get-go against the backdrop of continued macroeconomic uncertainty.
However, after a month of trading, any lingering doubts about investor interest in spot Bitcoin ETFs have been put to bed. Below are some of the records that these products have smashed within the period:
- Highest First-Day Volumes: On the first day of trading, the ten newly approved Bitcoin ETFs saw a cumulative trading volume exceeding $4 billion, with over 25% recorded in less than 30 minutes. Amid this flurry of activity, the converted Grayscale ETF product GBTC recorded $2.3 billion in volumes, breaking the record for the highest first-day trading volume for an ETF.
- Fastest ETFs to Eclipse $3 Billion in Assets Under Management: The launch of spot Bitcoin ETFs has produced the fastest-growing ETFs by AUM in history. Within the first month of launch, BlackRock’s IBIT and Fidelity’s FBTC surpassed $3 billion with $3.75 billion and $3 billion in AUM per BitMEX Research data as of Friday, February 9. As highlighted by Bloomberg Intelligence Analyst Eric Balchunas, no ETF has been able to gain this much in terms of AUM in the first month of launch.
- Leading Bitcoin ETFs See “Unprecedented” Net Inflows Everyday: Every day in the first month of trading, the top four spot Bitcoin ETFs by assets have recorded net inflows. Commenting on the feat, Bloomberg‘s Balchunas asserted it was “unprecedented.” For context, State Street Global Advisors’ SPDR Gold Shares (GLD), which investors typically compare with Bitcoin ETFs, only saw inflows for the first eight days in its first month of trading.
Amid the sustained demand for the approved ETFs, Bitcoin is trading just below the $50,000 price point, per CoinMarketCap data, up over 17% in the past week. Over the past 24 hours, the asset had breached the $50,000 price level for the first time since December 2021.
On the Flipside
- Grayscale’s GBTC has recorded over $6 billion in outflows, cutting the overall net inflows to Bitcoin ETFs to just over $2 billion.
Why This Matters
The records highlight the massive interest in recently approved spot Bitcoin ETFs, driving the demand for the underlying asset.
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