Bitcoin Spot ETFs: Analyst Lists Everything You Need To Know

A few days since the Bitcoin spot ETFs have gone live, here are the winners and losers in the space, as an analyst broke down. Blackrock’s iShares Bitcoin ETF Is The Biggest Winner So Far Earlier in the month, the much-anticipated Bitcoin spot ETFs finally gained approval from the US SEC. The BTC spot ETFs […]

Jan 19, 2024 - 21:58
Bitcoin Spot ETFs: Analyst Lists Everything You Need To Know

A few days since the Bitcoin spot ETFs have gone live, here are the winners and losers in the space, as an analyst broke down.

Blackrock’s iShares Bitcoin ETF Is The Biggest Winner So Far

Earlier in the month, the much-anticipated Bitcoin spot ETFs finally gained approval from the US SEC. The BTC spot ETFs are financial instruments that allow investors to gain indirect exposure to the cryptocurrency’s price movements.

This means that, with the spot ETF, traders don’t need to own the asset itself to gain exposure to it. ETFs trade on traditional exchanges, so they may be a preferable option for traditional investors.

For some investors, navigating cryptocurrency exchanges and learning how wallets work may be a market entry barrier. Still, with the ETFs, such traders should also be able to invest in the asset.

In total, 11 Bitcoin spot ETFs approved by the SEC started trading on 11 January. In a Quicktake post, the CryptoQuant Netherlands community manager Maartunn discussed how the various spot ETFs have fared during their first four days of trading.

First, here is a chart showing each ticker’s total investment in these first few days of trading.

Bitcoin ETF

The chart shows that the iShares Bitcoin Trust ($IBIT) managed by Blackrock saw over $1 billion inflow in its first four days of trading, more than any other spot ETF.

Fidelity’s $FBTC followed up $IBIT in the second with about $884 million in positive flows. All other products saw much smaller inflows, with Grayscale’s $GBTC seeing negative flows of more than $1.6 billion.

Regarding the flows broken down for the first four days, Blackrock’s $IBIT stayed consistently at the top and was only beaten on the first day by Fidelity’s $FBTC and Bitwise’s $BITB.

Bitcoin ETF Flows

As the chart shows, Grayscale’s $GBTC was on the losing side on all four days. “It’s hard to speak about a trend, but it would be positive if the selling pressure from $GBTC decreases in the coming days,” notes Maartunn.

Next is the graph for the total flows separated between all ETFs and all ETFs, excluding $GBTC. “The chart shows that there is high demand for the new Spot Bitcoin ETFs, but GBTC has overshadowed it,” explains the analyst.

Bitcoin Excluding $GBTC

The cumulative flow of all the Bitcoin spot ETFs has also risen naturally, reaching almost $1.3 billion at the end of the fourth trading day.

quicktake-image

BTC Price

At the time of writing, Bitcoin is trading at around $41,300, down 2% over the past 24 hours.

Bitcoin Price Chart