U.S. Spot Bitcoin ETFs Experience Net Inflows for Two Consecutive Days
On Monday, U.S. spot Bitcoin Exchange-traded funds (ETFs) witnessed a total of $235.19 million in net inflows, continuing the positive trend for the second consecutive day. The Data sourced from SoSoValue reveals the movement of capital within the 12 ETFs under observation.
Fidelity’s FBTC emerged as the leader in attracting inflows, with an impressive $103.68 million. Following closely was BlackRock’s IBIT, the largest spot Bitcoin ETF based on assets, which experienced $97.88 million in net inflows, rebounding from zero flows reported just last Friday.
Notable Inflows in Other Funds
- Bitwise’s BITB secured $13.09 million in new Investments.
- Ark and 21Shares’ ARKB garnered $12.63 million in inflows.
- VanEck’s HODL saw $5.37 million in net inflows.
- Invesco’s BTCO added $2.53 million to its pool of Investments.
In contrast, Grayscale’s GBTC, the second-largest spot Bitcoin ETF, along with six other ETFs, did not report any inflows on Monday.
Digital Asset investment Products Witness $147M in Outflows
During the same period, Digital asset investment products faced outflows of $147 million due to increasing investor caution stemming from robust economic Data. This cautionary approach was a response to the unlikelihood of substantial interest rate cuts as suggested by stronger-than-expected economic indicators.
Despite the overall cautious Market sentiment, trading volumes for Exchange-traded products (ETPs) rose by 15% to reach $10 billion. This uptick in trading activity contrasted the general decrease in activity across broader crypto markets.
Bitcoin was the focal point of investor movements, witnessing outflows of $159 million. However, products that short Bitcoin saw modest inflows of $2.8 million, indicating some hedging activity.
Ethereum followed suit with outflows of $29 million as interest in the asset diminished. On a brighter note, multi-asset investment products continued their positive streak, attracting $29 million in inflows. This marked the 16th consecutive week of positive trends, with these products accumulating a total of $431 million since June.
Market Outlook and Performance
Despite initial volatility, the Market sentiment is becoming more optimistic as the “Uptober” narrative gains traction. Bitcoin has stabilized around the levels seen the previous Monday, thanks to strong Non-Farm Payroll (NFP) Data and renewed interest sparked by an upcoming HBO Bitcoin documentary.
Options flows indicate a positive outlook for the fourth quarter, with notable interest in December BTC call spreads targeting the $75,000 and $95,000 levels, further reinforcing the “Uptober” narrative. Expectations of additional rate cuts and Bitcoin’s robust correlation with equities are boosting confidence for a strong October performance.
Overall, the recent movements in ETFs and Digital asset investment products highlight the evolving dynamics of the crypto Market and investors’ responses to economic conditions and Market sentiments.
