After Grayscale’s convertible product dominated spot Bitcoin exchange-traded fund daily trading volume for 14 days, BlackRock’s IBIT overtook GBTC for the first time on Thursday.
IBIT recorded daily trading volume of $303.97 million yesterday, while GBTC recorded $292.37 million, according to The Block’s data dashboard. Fidelity’s FBTC ranked third with $171.84 million. The remaining new spot Bitcoin ETFs each generated less than $100 million in volume.
BlackRock and Fidelity’s spot Bitcoin ETFs were already approaching GBTC’s daily trading volume earlier in the week, and at one point looked set to surpass Grayscale’s convertible fund on Tuesday.
“BlackRock’s IBIT is the first ETF to trade more than Grayscale’s GBTC in a single day,” said James Seyffart, Bloomberg ETF analyst. “Total volume today was $924 million, which was a bit silly. This was the first day volume fell below $1 billion since the group was launched.”
Cumulative trading volume for spot Bitcoin ETFs is currently approaching $30 billion.
BlackRock’s IBIT also led the way in terms of inflows on Thursday, adding $163.9 million to the fund. FBTC was again in second place with $35.8 million worth of inflows, while GBTC recorded $182 million worth of outflows, its lowest since January 11. Net inflows were $38.5 million yesterday, the fifth straight day of inflows. Total net inflows now stand at around $1.4 billion after 15 days of trading, according to BitMEX Research data.
GBTC market share falls as outflows slow.
GBTC’s existing dominance, existing Grayscale’s transformation Bitcoin BTC
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Trust is not a newly minted physical Bitcoin ETF like other ETFs, and has seen significant outflows from its product since its launch on January 11. The higher-fee GBTC product has now lost more than $5.8 billion in assets compared to total inflows over the period. That’s $7.2 billion for nine new ETFs, according to BitMEX Research.
But that dominance has begun to subside in recent days, with profit taking on GBTC largely winding down, according to JPMorgan analysts. GBTC investors, who had purchased the fund’s shares at a significant discount to net asset value over the past year for a potential ETF conversion, “reaped their entire profits after the ETF conversion by exiting the Bitcoin space entirely rather than converting to a cheaper ETF.” “Yes.” “Spot Bitcoin ETF,” analysts previously noted.
Earlier this week, The Block reported that nine new spot Bitcoin ETFs have now amassed more than 150,000 BTC, with GBTC’s market share by trading volume nearly halving to 36.4% from its January 17 peak of 63.9%. . GBTC’s market share has fallen further over the past few days to 31.4%, with IBIT at 32.6% and FBTC at 18.4% as of Thursday’s data.
According to The Block’s price page, Bitcoin is currently trading at $43,060. The leading cryptocurrency by market capitalization is up 2% in the last 24 hours and 4.4% over the past week. However, the spot Bitcoin ETF has remained down about 12% since it began trading.
BTC/USD price chart. Image: Block/TradingView.
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