GBTC Continues to Lead Outflows as Bitcoin Spot ETFs See Net Outflow of $58M
A recent report from SoSoValue shows significant movements in the Bitcoin exchange-traded funds (ETFs) market, mainly focusing on the outflows observed in Grayscale’s Bitcoin Trust (GBTC) and the broader net outflow of $58.03 million from Bitcoin spot ETFs.
The data highlights the dominance of outflows, with GBTC alone experiencing a net outflow of $79.38 million, contributing to its historical net outflow of $16.46 billion.
In contrast, the BlackRock ETF IBIT saw a net inflow of approximately $25.78 million.
Despite GBTC seeing over $16.46 billion in outflows, analysts suggest a potential shift in dynamics, especially considering Bitcoin’s volatility. With April 20 looming as a significant date to monitor, there will be a significant shift for ETFs.
Addressing concerns surrounding low inflows into US spot Bitcoin ETFs, Bloomberg ETF analyst James Seyffart reassured investors, emphasizing that such fluctuations are part of normal market behavior. Seyffart noted that significant inflows or outflows occur sporadically, usually due to demand-supply imbalances, rather than indicating fundamental flaws in the product.
On March 26, analysts speculated about the potential end of outflows from Grayscale’s fund. Senior Bloomberg ETF analyst Eric Balchunas suggested that most outflows might be linked to bankruptcies in the crypto industry, hinting at a possible stabilization shortly.
The market turbulence coincides with Bitcoin’s price volatility, compounded by geopolitical events such as Iran’s retaliatory actions against Israel and anticipation surrounding Bitcoin’s halving event on April 20.
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