ETF Effect on Bitcoin's Rise! Millions of Dollars Have Entered Bitcoin ETFs!

Spot Bitcoin exchange-traded funds (ETFs) in the United States witnessed a significant increase in daily net inflows, with Wednesday totaling $302.97 million, marking the highest inflow since May 3.

Spot Bitcoin ETFs Witness $302 Million Inflows, Fidelity's FBTC Leads Surge

Fidelity's FBTC emerged as the frontrunner attracting inflows with a staggering $131 million in inflows on a daily basis, according to data from SoSoValue.

Following closely behind, Bitwise's fund saw an inflow of $86 million. Ark Invest and 21Shares' ARKB generated $39 million in net inflows.

Meanwhile, ETFs managed by Valkyrie, VanEck, Franklin Templeton, WisdomTree and Invesco/Galaxy Digital collectively reported modest single-digit net inflows.

Even Grayscale's GBTC, the largest spot Bitcoin fund by net asset value, had its third net inflow on Wednesday, bringing in $27 million. Notably, BlackRock, the second largest fund, recorded no flows.

“The large inflows suggest that investment advisors and hedge fund managers view BTC ETFs as a unique hedge, providing diversification benefits that traditional asset classes cannot offer,” said Rachael Lucas, a crypto analyst at BTC Markets.

As of Wednesday, 11 spot Bitcoin ETFs in the U.S. had total cumulative net inflows of $12.15 billion. However, trading volume for these ETFs has declined steadily since peaking in March.

*This is not investment advice.