Grayscale Bitcoin Trust (GBTC), the largest Bitcoin ETF by assets, saw a net inflow of new money from investors for the first time since its debut in January, according to Far Side Investors. On Friday, May 2, a net $63 million was added to the trust.
Grayscale Bitcoin Trust (GBTC), the largest Bitcoin ETF by assets, saw a net inflow of new money from investors for the first time since its debut in January, according to Far Side Investors. On Friday, May 2, a net $63 million was added to the trust.
GBTC has long been a popular financial instrument for investing in Bitcoin (BTC) without directly purchasing the cryptocurrency. However, it faced increased competition in January when it became an easier-to-trade ETF, coinciding with the launch of nine rival Bitcoin spot ETFs.
Due to its relatively higher fees, investors withdrew billions of dollars from GBTC, resulting in a streak of 78 consecutive days of capital outflows that ended last Friday.
GBTC currently holds $18.1 billion in assets, while IBIT, which is now in second place, started from scratch in January and currently holds $16.9 billion. GBTC assets have decreased from more than $26 billion previously.
Perfect Friday for Bitcoin ETFs
According SoSoValue, the Bitcoin Spot ETF saw a total net inflow of $378 million on May 3, marking the first net inflow after seven consecutive days of net outflows. Additionally, the GBTC Grayscale ETF recorded a rare single-day inflow of $63.0112 million.
In Hong Kong, the total net assets of the three Bitcoin spot ETFs amount to approximately $250 million, with holdings of approximately 4,225 BTC. Similarly, the total net assets of the three Ethereum spot ETFs in Hong Kong are approximately $48.52 million, with holdings of approximately 16,000 ETH.
Are the bulls coming back?
BTC ETF Flows
On May 2, all ETFs recorded capital outflows for the first time, totaling $563.7 million, the largest losses since trading began in January. This decline has persisted for nearly two months, with funds experiencing approximately $6 billion in losses over the past four weeks, representing a 20% drop in assets under management.
