Sudden Surge in Bitcoin Spot ETF Trading Volume

Sudden Surge in Bitcoin Spot ETF Trading Volume
By AZC News | Jan 17 2024

In their initial three days of trading, spot Bitcoin ETFs amassed a total trading volume of approximately $10 billion.Sudden Surge in Bitcoin Spot ETF Trading Volume
During the initial three days on the market, spot Bitcoin ETFs recorded a cumulative trading volume of around $10 billion, maintaining Grayscale Investments and BlackRock as frontrunners in this sector.

Grayscale's recently transformed Bitcoin Trust ETF (GBTC) reported Tuesday's trading volumes at approximately 25 million shares, equivalent to $970 million, based on data from Yahoo Finance analyzed by Blockworks. This followed trading volumes of $2.3 billion and $1.8 billion on Thursday and Friday, respectively.

Despite the substantial trading activity, the elevated volumes for GBTC did not indicate a net influx of funds. According to a CoinShares report released on Monday, the trust experienced net outflows of $579 million last week. Although recently converted to an ETF, GBTC had its origins in 2013 and currently manages approximately $27 billion in assets.


Industry analysts, as reported by Blockworks last week, anticipated continued outflows for GBTC over time, citing its comparatively high fee of 1.5% compared to competitors.

On the other hand, BlackRock's iShares Bitcoin Trust (IBIT) recorded trading volumes of nearly 15 million shares, amounting to approximately $370 million on Tuesday. Simultaneously, the Fidelity Wise Origin Bitcoin Fund (FBTC) saw around 8.2 million shares, valued at approximately $310 million, traded during the day.

Bloomberg Intelligence analyst Eric Balchunas, in a recent post, projected that BlackRock's IBIT is poised to outpace GBTC as the leading fund in terms of liquidity. Industry experts emphasize liquidity—characterized by narrower bid-ask spreads and the ability to execute large trades with minimal price impact—as a pivotal factor influencing investors' choices in selecting a spot Bitcoin ETF.

Ark Invest and 21Shares, alongside rival firm Bitwise, reported Tuesday trading volumes of approximately $124 million and $52 million, respectively, for their spot Bitcoin ETFs. Conversely, offerings from Invesco, VanEck, Franklin Templeton, Valkyrie, and WisdomTree each saw volumes of $10 million or less.



Despite Bitwise initially leading in net flows for spot Bitcoin ETFs, traditional financial giants BlackRock and Fidelity surpassed the crypto-focused firm after the second day, according to Bloomberg Intelligence data.

Related: BlackRock Boosts Bitcoin Scarcity with 11,500 BTC Withdrawal

Ophelia Snyder, President of 21Shares, highlighted that the initial trading volumes indicate pent-up demand and anticipates a "second wave of activity in the coming weeks and months as this becomes more mainstream." Snyder cautioned against a short-term focus on fund flows, emphasizing that the gradual increase in adoption over time is more significant.

Disclaimer. This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own reseaSudden Surge in Bitcoin Spot ETF Trading Volume
By AZC News | Jan 17 2024

In their initial three days of trading, spot Bitcoin ETFs amassed a total trading volume of approximately $10 billion.Sudden Surge in Bitcoin Spot ETF Trading Volume
During the initial three days on the market, spot Bitcoin ETFs recorded a cumulative trading volume of around $10 billion, maintaining Grayscale Investments and BlackRock as frontrunners in this sector.

Grayscale's recently transformed Bitcoin Trust ETF (GBTC) reported Tuesday's trading volumes at approximately 25 million shares, equivalent to $970 million, based on data from Yahoo Finance analyzed by Blockworks. This followed trading volumes of $2.3 billion and $1.8 billion on Thursday and Friday, respectively.

Despite the substantial trading activity, the elevated volumes for GBTC did not indicate a net influx of funds. According to a CoinShares report released on Monday, the trust experienced net outflows of $579 million last week. Although recently converted to an ETF, GBTC had its origins in 2013 and currently manages approximately $27 billion in assets.


Industry analysts, as reported by Blockworks last week, anticipated continued outflows for GBTC over time, citing its comparatively high fee of 1.5% compared to competitors.

On the other hand, BlackRock's iShares Bitcoin Trust (IBIT) recorded trading volumes of nearly 15 million shares, amounting to approximately $370 million on Tuesday. Simultaneously, the Fidelity Wise Origin Bitcoin Fund (FBTC) saw around 8.2 million shares, valued at approximately $310 million, traded during the day.

Bloomberg Intelligence analyst Eric Balchunas, in a recent post, projected that BlackRock's IBIT is poised to outpace GBTC as the leading fund in terms of liquidity. Industry experts emphasize liquidity—characterized by narrower bid-ask spreads and the ability to execute large trades with minimal price impact—as a pivotal factor influencing investors' choices in selecting a spot Bitcoin ETF.

Ark Invest and 21Shares, alongside rival firm Bitwise, reported Tuesday trading volumes of approximately $124 million and $52 million, respectively, for their spot Bitcoin ETFs. Conversely, offerings from Invesco, VanEck, Franklin Templeton, Valkyrie, and WisdomTree each saw volumes of $10 million or less.



Despite Bitwise initially leading in net flows for spot Bitcoin ETFs, traditional financial giants BlackRock and Fidelity surpassed the crypto-focused firm after the second day, according to Bloomberg Intelligence data.

Related: BlackRock Boosts Bitcoin Scarcity with 11,500 BTC Withdrawal

Ophelia Snyder, President of 21Shares, highlighted that the initial trading volumes indicate pent-up demand and anticipates a "second wave of activity in the coming weeks and months as this becomes more mainstream." Snyder cautioned against a short-term focus on fund flows, emphasizing that the gradual increase in adoption over time is more significant.

Disclaimer. This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own reseaSudden Surge in Bitcoin Spot ETF Trading Volume
By AZC News | Jan 17 2024

In their initial three days of trading, spot Bitcoin ETFs amassed a total trading volume of approximately $10 billion.Sudden Surge in Bitcoin Spot ETF Trading Volume
During the initial three days on the market, spot Bitcoin ETFs recorded a cumulative trading volume of around $10 billion, maintaining Grayscale Investments and BlackRock as frontrunners in this sector.

Grayscale's recently transformed Bitcoin Trust ETF (GBTC) reported Tuesday's trading volumes at approximately 25 million shares, equivalent to $970 million, based on data from Yahoo Finance analyzed by Blockworks. This followed trading volumes of $2.3 billion and $1.8 billion on Thursday and Friday, respectively.

Despite the substantial trading activity, the elevated volumes for GBTC did not indicate a net influx of funds. According to a CoinShares report released on Monday, the trust experienced net outflows of $579 million last week. Although recently converted to an ETF, GBTC had its origins in 2013 and currently manages approximately $27 billion in assets.


Industry analysts, as reported by Blockworks last week, anticipated continued outflows for GBTC over time, citing its comparatively high fee of 1.5% compared to competitors.
On the other hand, BlackRock's iShares Bitcoin Trust (IBIT) recorded trading volumes of nearly 15 million shares, amounting to approximately $370 million on Tuesday. Simultaneously, the Fidelity Wise Origin Bitcoin Fund (FBTC) saw around 8.2 million shares, valued at approximately $310 million, traded during the day.

Bloomberg Intelligence analyst Eric Balchunas, in a recent post, projected that BlackRock's IBIT is poised to outpace GBTC as the leading fund in terms of liquidity. Industry experts emphasize liquidity—characterized by narrower bid-ask spreads and the ability to execute large trades with minimal price impact—as a pivotal factor influencing investors' choices in selecting a spot Bitcoin ETF.

Ark Invest and 21Shares, alongside rival firm Bitwise, reported Tuesday trading volumes of approximately $124 million and $52 million, respectively, for their spot Bitcoin ETFs. Conversely, offerings from Invesco, VanEck, Franklin Templeton, Valkyrie, and WisdomTree each saw volumes of $10 million or less.



Despite Bitwise initially leading in net flows for spot Bitcoin ETFs, traditional financial giants BlackRock and Fidelity surpassed the crypto-focused firm after the second day, according to Bloomberg Intelligence data.

Related: BlackRock Boosts Bitcoin Scarcity with 11,500 BTC Withdrawal

Ophelia Snyder, President of 21Shares, highlighted that the initial trading volumes indicate pent-up demand and anticipates a "second wave of activity in the coming weeks and months as this becomes more mainstream." Snyder cautioned against a short-term focus on fund flows, emphasizing that the gradual increase in adoption over time is more significant.
Disclaimer. This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own reseaSudden Surge in Bitcoin Spot ETF Trading Volume
By AZC News | Jan 17 2024

In their initial three days of trading, spot Bitcoin ETFs amassed a total trading volume of approximately $10 billion.Sudden Surge in Bitcoin Spot ETF Trading Volume
During the initial three days on the market, spot Bitcoin ETFs recorded a cumulative trading volume of around $10 billion, maintaining Grayscale Investments and BlackRock as frontrunners in this sector.

Grayscale's recently transformed Bitcoin Trust ETF (GBTC) reported Tuesday's trading volumes at approximately 25 million shares, equivalent to $970 million, based on data from Yahoo Finance analyzed by Blockworks. This followed trading volumes of $2.3 billion and $1.8 billion on Thursday and Friday, respectively.
Despite the substantial trading activity, the elevated volumes for GBTC did not indicate a net influx of funds. According to a CoinShares report released on Monday, the trust experienced net outflows of $579 million last week. Although recently converted to an ETF, GBTC had its origins in 2013 and currently manages approximately $27 billion in assets.


Industry analysts, as reported by Blockworks last week, anticipated continued outflows for GBTC over time, citing its comparatively high fee of 1.5% compared to competitors.

On the other hand, BlackRock's iShares Bitcoin Trust (IBIT) recorded trading volumes of nearly 15 million shares, amounting to approximately $370 million on Tuesday. Simultaneously, the Fidelity Wise Origin Bitcoin Fund (FBTC) saw around 8.2 million shares, valued at approximately $310 million, traded during the day.
Bloomberg Intelligence analyst Eric Balchunas, in a recent post, projected that BlackRock's IBIT is poised to outpace GBTC as the leading fund in terms of liquidity. Industry experts emphasize liquidity—characterized by narrower bid-ask spreads and the ability to execute large trades with minimal price impact—as a pivotal factor influencing investors' choices in selecting a spot Bitcoin ETF.

Ark Invest and 21Shares, alongside rival firm Bitwise, reported Tuesday trading volumes of approximately $124 million and $52 million, respectively, for their spot Bitcoin ETFs. Conversely, offerings from Invesco, VanEck, Franklin Templeton, Valkyrie, and WisdomTree each saw volumes of $10 million or less.



Despite Bitwise initially leading in net flows for spot Bitcoin ETFs, traditional financial giants BlackRock and Fidelity surpassed the crypto-focused firm after the second day, according to Bloomberg Intelligence data.

Related: BlackRock Boosts Bitcoin Scarcity with 11,500 BTC Withdrawal
Ophelia Snyder, President of 21Shares, highlighted that the initial trading volumes indicate pent-up demand and anticipates a "second wave of activity in the coming weeks and months as this becomes more mainstream." Snyder cautioned against a short-term focus on fund flows, emphasizing that the gradual increase in adoption over time is more significant.

Disclaimer. This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.rch when making a decision.rch when making a decision.rch when making a decision.