On February 7th, the total daily trading volume for spot Bitcoin exchange-traded funds (ETFs) exceeded a billion dollars, with BlackRock at the forefront.
James Seyffart, an analyst from Bloomberg Intelligence, highlighted this as a significant day for BlackRock’s iShares Bitcoin Trust (IBIT), which reached a trading volume of $341.2 million. This surpassed the trading volume of the Grayscale Bitcoin Trust, which was $296.5 million. Fidelity’s FBTC fund was third with a $200 million volume, and the volume of the other seven funds totaled $188 million, making the day’s overall volume more than a billion dollars.
However, Seyffart mentioned that hitting the $1 billion mark “isn’t that big of a deal” for Bitcoin ETFs, noting it was an increase from recent days but still below the initial weeks of trading.
Inflows into spot Bitcoin ETFs have been outpacing the outflows from GBTC for nine consecutive days.
Preliminary data showed that on February 7th, GBTC experienced $81 million in outflows, while the nine spot Bitcoin ETFs saw $226 million in inflows, leading to net flows of $145 million. BlackRock had an inflow of $56 million, Fidelity’s fund grew by $130 million, and Bitwise saw $21 million in inflows.
On February 8th, investor and author Fred Krueger pointed out that the combined Bitcoin holdings of the nine newly launched ETFs were close to surpassing those of MicroStrategy, the largest corporate holder of Bitcoin. The ETFs held approximately 187,000 BTC as of February 7th, while MicroStrategy held 190,000 coins after buying an additional 850 BTC in January, bringing its total holdings to more than $8 billion.
Krueger remarked, “ETFs are eating the world. They ate every other asset class and had Bitcoin for dessert.”
Fidelity has also started adding spot Bitcoin to their All-in-One Conservative ETF. ETF analyst Eric Balchunas commented on this move, saying, “If they’re adding to conservative, that’s probably a good sign.”
