In June, US spot Bitcoin ETFs, including GBTC, saw a surge in purchases, with a collective acquisition of 25,729 BTC during the first week alone. This was a significant increase compared to the figures from the previous months, such as January, which saw the acquisition of 33,456 BTC, followed by 116,561 BTC in February and 65,456 BTC in March. However, there was a slight setback in April with an outflow of 6,074 BTC, which later recovered in May with 25,729 BTC being recorded. The first week of June witnessed a remarkable increase in purchases, almost matching the entire month of May.
Since their launch in mid-January, these spot Bitcoin ETFs have attracted approximately $15.7 billion in net inflows from investors. This significant figure includes the $17.93 billion in net outflows experienced by Grayscale’s GBTC during the same period. Currently, these 11 ETFs manage over $61 billion in total assets under management (AUM) in the US, with BlackRock and Fidelity leading the pack.
US-based spot ETFs were on a remarkable streak of 19 consecutive days with only inflows, showcasing strong investor interest. However, this streak came to an end after exactly a month, with Farside data revealing that $64.9 million was withdrawn on June 10. Grayscale’s GBTC was the biggest loser, with nearly $40 million taken out, although some ETFs like IBIT and BITB experienced minor inflows during this period.
Interestingly, the outflows from the ETFs had an immediate impact on the market, with Bitcoin’s price plummeting in the past 12 hours. The asset dropped from just over $70,000 to under $68,000, resulting in $170 million in liquidations and dragging down the entire market with it. This sudden price drop serves as a reminder of the inherent volatility of the cryptocurrency market and the influence that large investment vehicles like ETFs can have on prices.
While the US spot Bitcoin ETFs had a strong start to June with increased purchases and net inflows from investors, the market experienced a sharp downturn following significant outflows. This highlights the interconnectedness of ETFs and cryptocurrency prices and underscores the importance of monitoring market trends and investor sentiment for navigating this volatile landscape.
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