A Look at the Spot Bitcoin ETF Market: Trends and Overview
Date: 2024-05-16 Author: Oliver Abernathy Categories: BUSINESS
Four months have passed since the launch of spot Bitcoin ETFs in the United States, during which significant changes have occurred in the market. Let's look at how the situation has changed since their launch and what three main trends are worth considering.
1. Decrease in trading volumes
Trading volume in the spot Bitcoin ETF market continues to decline. The figure, which reached $9.9 billion on March 5, 2024, fell to a local minimum of $997 million by May 8.
2. Gradual decline in growth rates
BlackRock's iShares Bitcoin Trust (IBIT) and Grayscale Bitcoin Trust ETF (GBTC) are slowing down their market share gains. While IBIT has risen from 22% to 59% since launch and GBTC has fluctuated in the 17-26% range, other spot Bitcoin ETFs have shown little change since launch.
3. Large-scale outflow
Spot Bitcoin ETFs have seen large outflows since inflows stopped at the end of April 2024. Record outflows were recorded on May 1, when funds from FBTC exceeded GBTC. However, despite the significant outflow, spot Bitcoin ETFs remain the market leader in terms of growth.
To summarize, even with the outflow of funds, spot Bitcoin ETFs continue to show impressive growth in the exchange traded fund market.
