First week frenzy: Bitcoin ETFs shatter records with trading milestone
GBTC outflows
While the newly launched funds from companies such as BlackRock, Bitwise, and Fidelity have experienced inflows, billions of dollars in Bitcoin (BTC) have been withdrawn from Grayscale Bitcoin Trust (GBTC). This significant shift in investor preference is likely due to lower fees and greater liquidity offered by these new products.
A look at BTC inflows
Additionally, recent data from Lookonchain highlighted significant activity among major Bitcoin ETFs. The iShares Bitcoin Trust added 4,808 BTC (worth approximately $194.4 million) from Coinbase Prime, bringing its total holdings to 33,431 BTC (valued at around $1.33 billion) to date.
A surge in numbers
The remarkable ETF journey began on 11 January 2024, when the U.S. approved the trading of Bitcoin ETFs. On the first day of trading, the combined volume across all Bitcoin ETFs exceeded $4.6 billion. GBTC, after its conversion to an ETF, reported a volume of approximately $2.3 billion. Not far behind were IBIT with $1 billion and FBTC with $712 million in volumes.
