Bitcoin ETFs See Fresh Outflows

by

Based on recent news, there were withdrawals amounting to $59.3 million from Bitcoin ETFs on April 16th.

This marks the third consecutive day of negative flows for Bitcoin ETFs. 

Approximately $25.8 million flowed into BlackRock’s iShares Bitcoin ETF (IBIT) during the specified period, representing a relatively small increase in assets.

During that time period, there were additional withdrawals of approximately $79 million from Grayscale’s GBTC. Similarly, Ark’s Bitcoin ETF underwent some redemptions totaling around $12.9 million.

If Bitcoin’s price remains under $64,000, the cryptocurrency market may not generate sufficient excitement in time for the upcoming halving event, which is only a few days away and has been highly anticipated.

The flippening? 

Despite IBIT experiencing a decrease in outflows, Bloomberg’s senior ETF analyst, Eric Balchunas, anticipates that IBIT will exceed GBTC in terms of total assets before the end of this month.

The difference in assets between GBTC and Blackrock’s Bitcoin ETF has narrowed down to approximately $2 billion, as the latter continues to attract more investments with its successive influxes.

According to Balchunas’ observation, a significant surge in Bitcoin’s price, referred to as a “monster rally,” might postpone the flipping of Ethereum surpassing Bitcoin in value.

With that being said, the sentiment remains mostly bearish around the halving. 

Recently, gold advocate Peter Schiff expressed his view that Bitcoin might be in a hidden bear market as a result of substantial drops in cryptocurrency stock prices. The mining sector is taking a heavy hit because of the imminent pressure following the halving event.

Some Bitcoin supporters predict that a decrease of at least 40% may occur in the price of Bitcoin following the halving of rewards for miners.

Considering that ETF flows are also declining, the sentiment appears to be bleak for Bitcoin 

Read More

2024-04-17 10:24