Fidelity’s FBTC led the inflows, collecting $261.8 million, followed by BlackRock’s IBIT with $35.5 million. Other funds such as BITB, BTCO, EZBC and BRRR received between $11 million and $20 million each. Meanwhile, the Grayscale ETF (GBTC) continued to see outflows, losing just over $350 million.
Thanks to massive withdrawals from GBTC last week, a total of $887.6 million was left out of the ETF.
Nearly a dozen spot ETFs debuted in the U.S. on January 11, giving investors exposure to major cryptocurrencies while avoiding the hassles of owning and storing digital assets. Because these ETFs invest directly in Bitcoin, there is no need to roll over positions, a key feature of futures-based ETFs, which launched in October 2021.
Since the spot ETF began trading, Bitcoin has risen more than 50% to $70,750. Prices rose more than 4% on Monday, topping $71,000 at one point.
Markus Thielen, founder of 10x Research, said that end-of-quarter flows could be stronger than usual, pushing crypto prices to new highs.
“Bitcoin ETF flows magically turned around on Monday, with Fidelity suddenly selling $262 million, compared to $18 million, $3 million, and $13 million in the previous three sessions. Found a buyer. Tuesday (30%) flows tend to cannibalize Thursday (16%) and Friday (12%) flows, while Monday and Wednesday (21% each) We have a significant market share,” Thielen said in Tuesday’s edition. Newsletter.
“With Bitcoin above $70,000, we can imagine that Tuesday’s flows could also be positive again. At the end of the quarter, the flows could be stronger than usual,” Thielen said. added.
Thielen believes that for Bitcoin to chart a further aggressive rally, spot ETF inflows and dollar-pegged stablecoin tether (USDT) issuance must accelerate, otherwise the burden of the rally will fall on futures traders. He emphasized that the burden will be on his shoulders. Tether, the world’s largest dollar-pegged stablecoin, is widely used as a funding currency in the crypto spot and derivatives markets.
