Bitcoin ETFs See Record High Outflows of $326 Million Amid Market Downturn
Summary:
On March 19, US Bitcoin ETFs saw a record high joint outflow of $326 million, with Grayscale's Bitcoin Trust (GBTC) recording a net outflow of $443.5 million. Bitcoin's price fell to as low as $62,400 on the same day. The funds from BlackRock, Fidelity, and Bitwise were the only ones reporting net inflows. GBTC, since converting from a trust to an ETF, has experienced nearly $12.9 billion in outflows over 49 trading days since January 11.
On March 19, the combined cash outflow from Bitcoin ETFs in the United States reached a record-breaking $326 million across the ten funds. As of the same date, Grayscale reported its Bitcoin Trust (GBTC) holding assets worth over $23.7 billion. If the outflow rate persists, the fund could deplete as soon as late July. On March 19, GBTC itself experienced a net outflow of $443.5 million. BlackRock, Fidelity and Bitwise's ETFs were the exception registering net inflows, as per Farside Investors' data. Collectively, these three funds posted $117.3 million in net inflows, marking the second-lowest inflow day for the nine recently launched Bitcoin ETFs, not counting GBTC. The day's champion in net inflows was BlackRock's iShares Bitcoin Trust (IBIT) with $75.2 million, followed by the Fidelity Wise Origin Bitcoin Fund (FBTC) that attracted $39.6 million, while the Bitwise Bitcoin ETF (BITB) recorded a mere $2.5 million. This outflow from ETFs comparatively surpasses the previous highest outflow day which recorded $158.3 million on January 24. It indicates the second consecutive day of net outflows for these funds. On March 19, Bitcoin's price dipped to as low as $62,400 during US trading hours, extending its slide from the record peak of $73,835 reached on March 14. Currently, Bitcoin is trading at $61,173, down by 5.4% in the last 24 hours and just above its daily low of $60,872 according to Cointelegraph Markets Pro. On March 18, GBTC experienced its highest net outflow day at $642.5 million. Since January 11, when it transformed from a trust to an ETF, the fund has seen almost $12.9 billion in outflows over 49 trading days. Brett Harrison, Ex-FTX US, foresees more ETF records being broken with Bitcoin ETFs.
Published At
3/20/2024 9:23:12 AM
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