Outflows from spot Bitcoin ETFs exceed $150 million
Outflows from spot Bitcoin ETFs exceed $150 million
On Monday, spot Bitcoin ETFs launched in the United States recorded record outflows since their launch on January 11, 2024.
According to Farside Investors, outflows from Grayscale totaled $642.5 million on March 18, while inflows into the other nine spot Bitcoin ETFs totaled just $488.2 million. This brings Monday's outflows from spot Bitcoin ETFs to $154.3 million.
The $642.5 million outflow from the Grayscale GBTC Bitcoin ETF means that approximately 10,000 BTC were withdrawn from the fund in a single day, CoinGape reported.
Crypto analyst HODL15Capital said on his X (Twitter) page that, including the latest outflow, GBTC has lost 250,600 BTC since the ETF was converted. The fund's total holdings dropped from 620,000 BTC to 368,000 BTC.
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At the same time, inflows into the BlackRock Bitcoin ETF accelerated to $451.5 million after two consecutive declines.
Many experts cited two main reasons for the slowdown in Bitcoin ETF flows – the upcoming halving and the March 20th meeting of the US Federal Reserve.
However, a number of analysts are confident that Bitcoin ETF flows will continue to increase.
Grant Englebart, Vice President at investment firm Carlson Group, said in an interview with Scarlet Fu and Katie Greifeld on Bloomberg ETF IQ that few advisors typically allocate an average of 3.5% to Bitcoin ETFs in client portfolios.
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Bloomberg analyst Eric Balchunas agreed with Grant Englebart, saying, "While it's only those who are already invested in BTC, it's a handful of early adopters who are interested and then making allocations."
This suggests that the influx of funds into Bitcoin ETFs may continue to gain momentum in the future.
At the time of writing, BTC is trading at $64,875, down 5.7% in the last 24 hours.
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