Bitcoin ETFs Reverse Outflow Trend, Gain $15.7 Million
Highlights
- Bitcoin ETFs have reversed their trend of net redemptions, collecting a net inflow of $15.7 million.
- Fidelity's Bitcoin ETF led the inflows with $261 million, while BlackRock's Bitcoin ETF also saw a notable increase.
- Hong Kong is considering regulatory changes to allow in-kind creations and redemptions for spot Bitcoin ETFs.
Spot Bitcoin ETFs have broken the five-day trend of net redemptions. They collected a net inflow of $15.7 million on Monday. That change is a sizeable reversal following a week when these funds have experienced over $885 million in net outflows. The recent influxes into Bitcoin ETFs demonstrate investor trust and have been part of the cryptocurrency’s market performance. The value of Bitcoin once hit $71,000, and the daily trading volume is up 26%.
The biggest inflow gain of the day came from Fidelity’s Bitcoin ETF (FBTC), which took in $261 million. After FBTC, the BlackRock Bitcoin ETF (IBIT) also posted a significant net inflow of $35.4 million. On the other hand, the Grayscale Bitcoin Trust (GBTC) saw a moderate net outflow of $350 million on the same day. These moves reflect the changing landscape of investment in cryptocurrency, where investors are putting different sentiments in different funds.
London Stock Exchange to List Crypto ETNs
The success of US spot Bitcoin ETFs is encouraging other countries to consider such investment products. The London Stock Exchange revealed that Bitcoin and Ethereum exchange-traded notes (ETNs) would be listed applications that would open in April, and the commencement of trading will be on May 28. This choice highlights the increasing worldwide attention to institutional cryptocurrency exposure. Moreover, Grayscale CLO forecasted the release of Ethereum ETFs before May, suggesting the growing diversity of crypto-related investment alternatives.
Hong Kong is studying a regulatory change that could enable in-kind creations and redemptions for spot Bitcoin ETFs. Such a move would make it different from the cash-only transactions typical of the US market. Should this reform be carried out, it will reshape the market of cryptocurrency investments in Hong Kong, giving investors the alternative opportunity to invest in Bitcoin-related products. Analysis of Bloomberg by Eric Balchunas on X and Rebecca Sin highlights what the possible implications of this change would be for the region’s financial ecosystem.
Hong Kong Eyes Growth with Bitcoin ETFs
Hong Kong’s potential spot Bitcoin ETFs introduction will have profound effects on Assets Under Management (AUM) and market-wide dynamics. Comparing the success of Bitcoin ETFs in the US with assets under management of $62 billion outlines growth opportunities in Hong Kong. Data has indicated an increase in the Hong Kong ETF Traded Value since 2010-2023, surpassing $450 billion in the latest period. This tendency reflects the growing popularity of cryptocurrency investing in the region and predicts a bright future for similar financial instruments.
Read Also: Tether Unveils AI Division Data for Open-Source AI Revolution
- Fed’s Schmid Signals Opposition to Further Rate Cuts With Inflation ‘Too High’
- IBIT Bitcoin ETF Becomes BlackRock’s Most Profitable Fund, Nears $100B Milestone
- Bitcoin Tops $126,000 as Market Prices In Three-Week U.S. Government Shutdown
- Paul Tudor Jones Predicts Explosive Bull Market Amid Bitcoin’s ‘Uptober’ Rally
- Robinhood Outage Reported by Users, HOOD Stock Drops
- Solana Price Eyes 56% Rebound Amid Solana Company’s Massive $530M SOL Acquisition
- Ethereum’s Price Bullish Cycle Resumes as Grayscale Launches Spot Staking ETPs – Is $7,331 Next?
- Pi Network Price Risky Pattern Points to Crash as 14M Coins Leave OKX
- Bitcoin Price Prediction as Exchange Reserves Hit 6-Year Low—Is $150K Within Reach?
- Dogecoin Price Rebounds 15% From Buy Zone as Whales Add 30M DOGE – Can Bulls Push Beyond $0.30?
- FLOKI Price Prediction as ETP Listing Drives Adoption—Is a 160% Rally Ahead?
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
