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Home » BlackRock’s Bitcoin ETF experiences a surge in inflow after early-week BTC rally, reaching a 6-week high.
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BlackRock’s Bitcoin ETF experiences a surge in inflow after early-week BTC rally, reaching a 6-week high.

2024-05-22No Comments2 Mins Read
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BlackRock's Bitcoin ETF experiences a surge in inflow after early-week BTC rally, reaching a 6-week high.
BlackRock's Bitcoin ETF experiences a surge in inflow after early-week BTC rally, reaching a 6-week high.
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BlackRock’s Bitcoin exchange-traded fund (ETF) dominated the inflows into spot Bitcoin ETFs in the United States on May 21, accounting for 95% of the total. According to preliminary data from Farside Investors, BlackRock’s iShares Bitcoin Trust (IBIT) received inflows of $290 million on that day, contributing to the combined net inflows of over $300 million for all eleven ETF issuers. This marked a significant increase for BlackRock, as it had been experiencing zero or very low inflows for the past six weeks. In fact, the inflow on May 21 alone surpassed the total inflows of the past 21 trading days. The recent surge in inflows to spot Bitcoin ETFs, amounting to over $1 billion in the past four trading days, coincided with a volatile Bitcoin rally.

With the latest inflow figures, BlackRock’s ETF has now accumulated a total of $16 billion since its launch, according to Farside Investors. However, the official website for the product reports assets under management (AUM) of $19 billion. This puts BlackRock’s IBIT in close competition with industry leader Grayscale, whose Grayscale Bitcoin Trust (GBTC) ETF has $20 billion in AUM, as stated on the official website.

In contrast to BlackRock’s positive performance, GBTC experienced no outflows on May 21, extending the streak of consecutive trading days without net outflows to five. The fund also saw inflows of $72.5 million over the past five days, reversing a four-month trend of consistent outflows. However, while BlackRock and Grayscale saw significant inflows, the VanEck Bitcoin Trust ETF and the Bitwise Bitcoin ETF experienced outflows of $5.9 million and $4.2 million, respectively. The Fidelity Wise Origin Bitcoin Fund had minor inflows of $25.8 million, while the remaining funds had no inflows.

The recent enthusiasm for Bitcoin ETFs can be attributed to the increase in BTC prices over the past week, with the asset gaining 12%. On May 21, BTC reached a six-week high of $71,600, but subsequently dropped below the $70,000 level during early Asian trading on May 22, currently trading at $69,444.

Furthermore, the possibility of the U.S. Securities and Exchange Commission approving spot Ether ETFs in the U.S. has also bolstered the crypto markets since May 20.

In other news, there is a documentary about the FTX collapse available on Amazon Prime for $2,500, with the assistance of mom.

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