Daily trading volume for ten spot BTC ETFs hit a record above $10 billion

This may indicate the traders’ desire to fix profits on the background of the growth of the asset rate

06.03.2024 - 11:35

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3 min

What’s new? On March 5, the daily trading volume of shares of ten US spot bitcoin exchange-traded funds (ETFs) set a new record of $10,39 billion. The peak was reached against the backdrop of a sharp rise in the BTC exchange rate: on this day it tested an all-time high at $69 000, after which it corrected by 12%, but then partially recovered to $66 621 (the Binance exchange rate as of March 6, 100:50 UTC).

Source: Twitter.com

What else is known? According to data cited by Bloomberg analyst Eric Balchunas, BlackRock’s IBIT, Fidelity’s FBTC, Bitwise’s BITB, and ARKB funds, jointly managed by ARK Invest and 21Shares, broke personal records for trading volume.

IBIT, for example, ranked fourth in trading volume among all exchange-traded funds with $3,8 billion. Balchunas noted that “these are bananas numbers for ETfs under 2mo old.” Spot BTC ETFs were admitted to the US market on January 11.

At the same time, the sharp increase in the trading volume of ETF shares may indicate investors’ desire to lock in profits, as the value of bitcoin has grown by 57% over the past month.

Just a week after launch, spot bitcoin funds surpassed silver-based ETFs in terms of assets under management and took second place after gold. At the time of writing the news, total inflows for the ten-spot BTC ETFs amounted to $8,56 billion. IBIT, FBTC, ARKB, and BITB lead the way with $9,17 / $5,3 / $1,73 / $1,27 billion respectively.

The issuers of spot BTC ETFs have a combined $48,86 billion in assets under management.

Bitwise senior executive predicts an influx of funds into the BTC ETF after US banks entered the market

According to him, the main demand at the moment is coming from retail investors and hedge funds

It also became known that on March 5, early bitcoin miners began moving their assets to exchanges. According to CryptoQuant analysts, due to this, selling pressure may intensify, leading to a correction.

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