BlackRock’s Bitcoin ETF Sees Inflows While Others Experience Outflows: April 16, 2024 Update
BlackRock’s Bitcoin ETF Sees Inflows Amidst Market Volatility
In a week marked by market turbulence and outflows from various Bitcoin investment products, BlackRock’s Bitcoin exchange-traded fund (ETF) stands out as the sole spot Bitcoin fund in the United States to experience inflows. According to data from Farside Investors, the iShares Bitcoin Trust (IBIT) recorded net inflows of $73.4 million on April 15, despite a decrease from the previous day.
While IBIT saw inflows, other ETFs, excluding Grayscale’s, reported no inflows during the same period. The Grayscale Bitcoin Trust (GBTC) experienced $110.1 million in outflows on April 15, slowing down from the previous day’s outflows. Overall, all ten spot Bitcoin ETFs collectively witnessed net outflows in the past week.
The recent outflows from U.S. Bitcoin ETFs coincide with a volatile period for Bitcoin, which has seen an 11.6% decline over the week, trading at around $63,410. Global Bitcoin investment products also faced outflows, indicating investor hesitancy amidst market uncertainty.
However, amidst the market challenges, Bitcoin surged by 2.8% over a 24-hour period, reaching a trading value above $66,500 after multiple issuers in Hong Kong received approval for spot crypto ETFs. Analysts predict significant investments from mainland Chinese investors in potential Hong Kong-listed spot Bitcoin ETFs through the Southbound Stock Connect program.
Looking ahead, as Bitcoin’s halving event approaches on April 20, traders are closely monitoring its potential impact on price movement. Additionally, a notable outflow of Bitcoin from miners could be on the horizon post-halving, potentially leading to sideways movement in Bitcoin’s price for the coming months.
