The spot Bitcoin ETF market has continued to shine in BlackRock Inc’s IBIT favor with a record-breaking netflow
On Tuesday, the spot Bitcoin exchange-traded funds (ETF) recorded a total net inflows of $870 million. The amount registers as the highest inflow for the ETF market since the first week of June 2024. Notably, this record inflow occurred due to the inflow pulled by BlackRock’s IBIT.
BlackRock’s Trading Volume Soars to New Heights
The asset manager had a total daily net inflow of $642.9 million. This marks BlackRock’s largest daily inflow in more than seven months. BlackRock has also had a 12-day consecutive run of daily inflows in the ETF market, signaling increased institutional interest in its product.
BlackRock also reached a new trading volume record, last achieved on March 14. Its daily trading volume reached a massive $3.36 billion.
Eric Balchunas, Senior ETF analyst for Bloomberg, highlighted that these accomplishments were unusual when one looks at market trends over the months. According to him, ETF trading volume typically rises when the market experiences crises and prices are down. They do this to protect their assets and minimize losses.
However, for BlackRock to record over $3 billion in trading volume when Bitcoin price climbed by about 4% signals a significant development. Balchunas suggests that these institutional investors might have gone ahead and bought, driven by fear of missing out (FOMO). It also signals the investors’ confidence that Bitcoin’s price might climb further.
Other Players See Inflows, BlackRock Dominates
Meanwhile, data show other asset managers with significant inflows include Fidelity, whose FBTC saw $133.9 million, and Bitwise’s BITB, with $52.5 million in net inflows.
Others include VanEck’s HODL, Ark 21Shares’s ARKB, and Grayscale Mini (BTC), with $16.5 million, $12.4 million, and $29.2 million, respectively. Others had zero inflows except Grayscale GBTC, which had a daily outflow of $17.3 million.
At present, the total trading volume of the 12 ETFs is a staggering $4.75 billion, with a cumulative net inflow of $23.28 billion.
Disclaimer: The information provided in this article is for informational purposes only. It does not constitute investment, financial, trading, or any other sort of advice. You should not treat any of BGECrypto’s content as such. BGEcrypto does not recommend that any cryptocurrency should be bought, sold, or held by you. Do your due diligence and consult your financial advisor before making any investment decisions.
