Spot Bitcoin ETFs, or exchange-traded funds, experienced their highest inflows on July 6 following a substantial price drop in Bitcoin, below $55,000, during the U.S. July Fourth holiday.
The latest data shows an influx of $143.1 million into these investment vehicles.
Fidelity Bitcoin ETF (FBTC) is leading the charge, attracting $117 million. Close behind, the Bitwise Bitcoin ETF (BITB) saw $30.2 million in inflows, contributing to its impressive growth in holdings, now over 38,000 Bitcoins.
Bitcoin ETF Flow (US$ million) – 2024-07-05TOTAL NET FLOW: 143.1(Provisional data)IBIT: 0FBTC: 117.4BITB: 30.2ARKB: 11.3BTCO: 0EZBC: 0BRRR: 0HODL: 12.8BTCW: 0GBTC: -28.6DEFI: 0For all the data & disclaimers visit:https://t.co/4ISlrCgZdk
— Farside Investors (@FarsideUK) July 6, 2024
The ETFs ARKB and HODL also reported significant contributions, receiving $11.3 million and $12.8 million, respectively.
In contrast, the Grayscale Bitcoin Trust (GBTC) experienced a net outflow of $28.6 million, diverging from the overall positive trend observed in the market.
Hunter Horsley, CEO of Bitwise Asset Management, shared insights on X regarding his team’s strategic acquisitions of Bitcoin at exceptionally low costs of less than half a basis point, underlining their operational efficiency.
~$30,000,000 inflows into $BITB today. Bitwise PM team efficiently purchased Bitcoin at less than half of 1 basis point of cost.Cumulatively this week $BITB had >$66,000,000 of inflows, and now holds over 38,000 Bitcoin for investors.The outlook for Bitcoin has never been…
— Hunter Horsley (@HHorsley) July 5, 2024
Horsley expressed a bullish outlook on Bitcoin, framing the recent price dip as an advantageous entry point for investors.
“The outlook for Bitcoin has never been stronger. For many who don’t yet have exposure, this week is a chance to buy the dip,” he commented.
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Despite the market’s short-term volatility, the first week of July saw BITB’s inflows surpass $66 million. This uptrend in investor engagement reflects ongoing faith in Bitcoin’s long-term value.
Meanwhile, the recent drop in Bitcoin’s price, falling below $55,000 on July 5, relates directly to developments involving the defunct exchange Mt. Gox. Over 47,000 BTC, valued at around $2.6 billion, were moved to a new wallet as Mt. Gox prepares for a massive $9 billion payout.
At the time of writing, the price of Bitcoin is $56,826, a mark last witnessed in February, when the largest by market capitalization cryptocurrency was surging to a new all-time high.
Read more: Blackrock reveals large Bitcoin ETF stake with 43,000 shares