Bitcoin ETFs Face $388 Million in Outflows in Week of Adjustments
- Bitcoin ETFs saw net outflows of $388 million.
- Wise Origin Bitcoin Fund suffered the biggest loss with $208 million.
- Investors reevaluate strategies due to market uncertainties.
Between December 23 and 27, 2024, Bitcoin ETFs faced net outflows of $388 million, highlighting um significant revaluation movement by investors. This scenario led the total value of assets under management of these funds in the United States to reach US$106,68 billion, representing 5,7% of the total capitalization of the Bitcoin market.
At the time of publication, the price of Bitcoin was quoted at US$91.708,39 with a drop of 2.3% in the last 24 hours.
Despite the overall decline, some Bitcoin ETFs posted notable performances. BlackRock’s iShares Bitcoin Trust (IBIT) stood out, attracting a net inflow of $79,44 million during the period. This flow brought IBIT’s assets under management to $52,15 billion, accounting for 2,78% of Bitcoin’s market cap. In contrast, other ETFs, such as Fidelity’s Wise Origin Bitcoin Fund (FBTC), suffered the largest losses, with net outflows of $208,2 million, although it still holds a solid position with $11,84 billion in cumulative inflows.
Other ETFs, including the ARK 21Shares Bitcoin ETF (ARKB), saw significant outflows of $112,59 million. The Bitwise Bitcoin ETF (BITB) and the Invesco Galaxy Bitcoin ETF (BTCO) also saw significant outflows of $35,98 million and $14,15 million, respectively. Meanwhile, the Valkyrie Bitcoin Fund (BRRR) reported more moderate outflows of $10,02 million.
This outflow suggests that investors may be taking a cautious approach to Bitcoin ETFs due to macroeconomic factors and uncertainty in the global cryptocurrency market. Analysts believe that these outflows may reflect strategic adjustments in portfolios during the end of the year, especially after periods of strong appreciation.
Additionally, the recent inclusion of Bitcoin-related assets into traditional indices, such as MicroStrategy’s addition to the Nasdaq100, continues to increase Bitcoin’s exposure to the mainstream financial market. While Bitcoin ETFs have faced challenges in the final weeks of 2024, they remain a crucial tool for institutional and individual investors seeking exposure to the world’s largest digital asset.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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