Bitcoin ETFs recorded $187 million in inflows, with Fidelity leading at $56.6 million.
BlackRock iShares Bitcoin ETF saw zero inflows despite holding over $21 billion in Bitcoin.
Bitcoin's price surge past $60,000 fueled increased investor interest in ETFs.
On Tuesday, Bitcoin exchange-traded funds (ETFs) recorded $187 million in inflows as the cryptocurrency surged past $60,000. The inflows highlight growing interest in Bitcoin investments, with several major ETFs attracting attention.
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The Fidelity Wise Origin Bitcoin Fund (FBTC) led the charge, pulling in $56.6 million, marking it as the most popular ETF by inflows. Bitwise Bitcoin ETF (BITB) followed with $42.2 million, while VanEck Bitcoin ETF (HODL) saw $3.2 million in inflows, completing the top three performers.
BlackRock’s iShares Holds $21 Billion but Logs Zero Flows
Despite the strong inflows across several ETFs, BlackRock's iShares Bitcoin ETF (IBIT), a dominant player in the market, logged zero inflows on Tuesday. Launched eight months ago, the ETF has accumulated over $21 billion in Bitcoin holdings. However, its recent underperformance compared to competitors has raised questions among cryptocurrency analysts, given BlackRock's earlier lead in the ETF race.
Additionally, Grayscale's GBTC also recorded zero flows on the same day. Grayscale has been responsible for significant outflows since its product launch, further contributing to shifting market dynamics among Bitcoin ETFs.
Bitcoin Surges Beyond $60,000
The renewed interest in Bitcoin ETFs coincided with Bitcoin’s price surge past the critical $60,000 mark. As of now, Bitcoin is trading at $60,257, according to CoinGecko. The surge in price has encouraged bullish sentiment across the market, spurring investors to pour more funds into Bitcoin ETFs.
Analysts believe that the influx of capital into these funds reflects growing confidence in Bitcoin as a long-term investment option, especially as the leading cryptocurrency continues to demonstrate resilience.
