Bitcoin ETFs See $143.1M Inflows as BTC Regains $56K
- U.S Spot Bitcoin ETFs bounced back strongly on Friday with over $100M inflows.
- The inflows coincided with BTC regaining momentum after hitting a four-month low.
- Observers emphasized how the inflows depict a strong outlook for Bitcoin.
Net inflows to U.S. spot Bitcoin exchange-traded funds (ETFs) surged on Friday, highlighting rejuvenated investor confidence despite BTC’s weeklong volatility.
The 11 Nasdaq-listed ETFs attracted over 100 million on the same day that Bitcoin’s price plunged below $55,000 for the first time in four months. The crypto asset traded at a low of $53,717 on Friday before pairing the gains to reclaim $56,000 on July 6.
Bitcoin ETF Flow on July 5
According to preliminary data by Farside Investors, Bitcoin ETFs pulled $143.1 million on July 5, recording their largest daily net inflow in the last two weeks.
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Fidelity’s FBTC fund led the day’s inflows with $117.4 million, followed by Bitwise’s BITB, VanEck’s HODL, and Ark Invest’s ARKB at $30.2 million, $12.8 million, and $11.3 million, respectively.
All the remaining funds except for the Grayscale Bitcoin Trust (GBTC) posted $0 inflows. The GBTC fund, which recently lost its Bitcoin ETF crown for most assets under management to BlackRock’s IBIT, saw a total net outflow of $28.6 million.
The strong inflows into the Bitcoin ETFs follow a market turbulence that saw BTC and other crypto assets tumble, with some recording double-digit losses. According to Bloomberg’s James Seyffart, the funds are doing the “exact opposite of dumping,” meaning investors aren’t inclined to sell out of fear.
Bitcoin ETFs doing the exact opposite of “dumping” in the first ~20% drawdown since launch https://t.co/bh4dyKzOft
— James Seyffart (@JSeyff) July 6, 2024
Commenting on the inflows, Hunter Horsley, CEO of Bitwise Asset Management, urged users to buy the dip as the “outlook for Bitcoin has never been stronger.”
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Bitcoin exchanged hands at $56,479 as of press time after gaining 3.94% in the last 24 hours, CoinMarketCap data shows.
Stay updated on Metaplanet’s latest Bitcoin acquisition:
Metaplanet Advances $6M Bitcoin Plan with First Purchase
Read about the controversial Bitcoin “HODL Tax” proposal:
Bitcoin HODL Tax: Relief for Miners or Diamond Hand Penalty?
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