ETF Effect on Bitcoin’s Rise! Billions of Dollars Pour into Bitcoin ETFs!
Spot Bitcoin exchange-traded funds (ETFs) in the United States have experienced a surge in daily net inflows, with Wednesday seeing a record-breaking $302.97 million enter the market, the highest level since May 3. Fidelity’s FBTC has emerged as the leader in attracting inflows, with a staggering $131 million coming in daily. Bitwise’s fund follows closely behind with an inflow of $86 million, while Ark Invest and 21Shares’ ARKB generated $39 million in net inflows. Other ETFs managed by Valkyrie, VanEck, Franklin Templeton, WisdomTree, and Invesco/Galaxy Digital also reported modest single-digit net inflows. Even Grayscale’s GBTC, the largest spot Bitcoin fund, saw its third net inflow on Wednesday, bringing in $27 million. It is evident that investment advisors and hedge fund managers consider BTC ETFs to be a unique hedge, offering diversification benefits that traditional asset classes cannot provide. As of Wednesday, a total of $12.15 billion has flowed into the 11 spot Bitcoin ETFs in the U.S., although trading volume for these ETFs has steadily declined since reaching its peak in March. Please note that this information is not investment advice.