On Monday, the U.S.-listed spot ETFs witnessed nearly $300 million in new inflows.
Investors seem to be bargain-hunting as temporary supply overhangs weigh over BTC's price.
Spot bitcoin {{BTC}} exchange-traded funds (ETFs) recorded nearly $300 million in net inflows on Monday, marking their highest buying activity since early June when the cryptocurrency traded over $70,000.
SoSoValue data show that market leader BlackRock’s IBIT led buying activity with nearly $180 million in net inflows, followed by Fidelity’s FBTC. Grayscale’s GBTC—infamous for its outflows—recorded over $25 million in purchases.
ETFs offered by Invesco, Franklin Templeton, Valkyrie, WisdomTree and Hashdex showed no inflow or outflow activity.
Strong inflows come as bitcoin faces significant selling pressure from various sources, such as repayments tied to defunct crypto exchange Mt. Gox and a German government entity moving hundreds of millions worth of BTC to exchanges in the past month.
As such, some investors may be viewing the selling pressure as a buying opportunity, investment firm CoinShares said in a Monday report.
“Digital asset investment products saw inflows totaling US$441m, with recent price weakness prompted by Mt Gox and the German Government selling pressure likely being seen as a buying opportunity,” CoinShares said. “However, volumes in Exchange Traded Products (ETPs) remained relatively low at US$7.9 billion for the week, reflecting the typical seasonal pattern of lower volumes in the summer months.”
Traders largely expect July to be a generally bullish month for the crypto market as it has seen a medium return of 9% historically, with the trend expected to continue.