Bitcoin U.S. spot ETFs saw a remarkable reversal this week, with a massive $418 million net inflow on Tuesday. This comes after the ETFs experienced 5 straight days of net outflows last week during Bitcoin’s dip below $60,000.
NEW: #Bitcoin ETFs saw a $418 million net inflow yesterday following five consecutive days of outflows last week.
We are so back 🙌 pic.twitter.com/qfobpZOT5b— Bitcoin Magazine (@BitcoinMagazine) March 27, 2024
The turnaround signals renewed confidence among institutional investors, who have eagerly piled into Bitcoin ETFs since the first US ETF approval earlier this year. The SEC has now approved eleven spot Bitcoin ETFs after years of rejecting applications.
Fidelity’s Wise Origin Bitcoin Trust ETF (FBTC) led Tuesday’s surge. It saw a staggering $279 million in inflows, the largest single-day gain since its launch.
The influx starkly contrasts last week’s bearish sentiment, when over $200 million flowed out of Bitcoin ETFs as prices fluctuated amid a broader Bitcoin price dip.
Now, with Bitcoin stabilizing around $70,000, institutional interest is returning. While Grayscale’s Bitcoin Trust (GBTC) continued bleeding assets, BlackRock’s iShares Bitcoin ETF (IBIT) saw $162 million added on Tuesday. The total assets under management across Bitcoin ETFs are nearly $59 billion.
The sharp inflow reversal underscores Wall Street’s growing appetite for Bitcoin exposure via regulated investment vehicles. Bitcoin ETFs are passing their first real test in a volatile market environment.
If the adoption trend persists despite market swings, Bitcoin ETFs could cement their status as the preferred Bitcoin on-ramps for institutional dollars. Their growth and resilience reflect Bitcoin’s broadening mainstream acceptance.