Bitcoin (BTC) ETF, Fund Outflow Finally Ends..."Fidelity Drives Inflow"

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U.S. Bitcoin (BTC) spot ETFs broke a 10-trading-day streak of outflows, recording a net inflow of $221.7 million in one day, creating a reversal signal for frozen institutional demand.

According to crypto media outlet Cointelegraph on July 3 (local time), U.S.-listed Bitcoin spot ETFs recorded a net inflow of $221.7 million on Thursday. This is the first time the daily net inflow has exceeded $200 million since early May. This also temporarily halted the net outflow trend, which saw over $2.7 billion withdrawn over the past 10 trading days.

This rebound comes after the weakest ETF performance this year. U.S. Bitcoin spot ETFs recorded a record net outflow of $4.5 billion in June. It is interpreted that some funds, characterized by bargain hunting, returned as Bitcoin recovered to the $61,000 level after briefly falling below $59,000.

The product that led the inflow was the Fidelity Wise Origin Bitcoin Fund (FBTC). FBTC recorded a net inflow of $166 million on Thursday, accounting for approximately 75% of the total net inflow for the day. The ARK 21Shares Bitcoin ETF (ARKB) attracted $91.8 million, the VanEck Bitcoin ETF (HODL) attracted $4.4 million, and the Valkyrie Bitcoin Fund (BRRR) attracted $1.7 million.

On the other hand, the largest Bitcoin spot ETF, iShares Bitcoin Trust (IBIT), still could not avoid outflows. IBIT recorded a net outflow of $40.4 million on Thursday, continuing its net outflow for 11 consecutive trading days since June 17, with over $2.2 billion withdrawn. The continued outflow from BlackRock's product despite the market's overall shift to net inflows is a sign that institutional demand recovery is not yet comprehensive.

Fund inflows were not limited to Bitcoin. U.S. Ethereum (ETH) spot ETFs recorded a net inflow of $29.1 million on Thursday, following a net inflow of $14.9 million the previous day. XRP ETFs also returned to a net inflow of $6.6 million after two consecutive trading days of net outflows. The global cryptocurrency market capitalization increased by 2.4% to $2.2 trillion in the last 24 hours, with Bitcoin recovering above $61,000.

Fear sentiment still weighs on the market. Alternative.me's Fear & Greed Index pointed to the extreme fear zone on Friday. However, the halt of 10 consecutive trading days of outflows and the return of over $200 million, mainly driven by Fidelity, remained a signal that the Bitcoin spot ETF market has begun to test demand at the bottom.

[Article Summary]

-U.S. Bitcoin spot ETFs recorded a net inflow of $221.7 million on Thursday, breaking a 10-trading-day streak of net outflows.

-FBTC accounted for approximately 75% of the total inflow with a net inflow of $166 million, but $40.4 million flowed out of IBIT.

-Ethereum spot ETFs recorded a net inflow of $29.1 million, and XRP ETFs recorded a net inflow of $6.6 million, with altcoin ETFs also joining the fund recovery trend.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*