4 crisp charts to celebrate a legendary month of bitcoin ETFs
Billions of dollars have piled into spot bitcoin ETFs in their first month and there’s little sign of slowing down
Artwork by Crystal Le
First-day buyers of spot bitcoin ETFs have been left holding the bag over the last month. But no longer.
Anyone who bought and held shares in any of the spot bitcoin ETFs before today would be in the green.
Bitcoin spiked to $48,000 as the ETFs opened trade on Jan. 11 — two year highs — before retracting more than 20% over the following two weeks.
Now, on the first day of their second month of trade, bitcoin (BTC) threatens to blast past $50,000 and is up 13% year to date.
Read more: Let’s pour one out for the first-day spot bitcoin ETF investors
The 10 physically-backed bitcoin funds altogether saw almost $36 billion in trade in their first month, according to market data compiled by Blockworks.
Grayscale’s bitcoin trust (GBTC) made up more than half of those volumes, perhaps boosted by the closure of its nagging NAV discount presenting a final arbitrage opportunity.
BlackRock and Fidelity’s offerings followed with $8.31 billion and $6.53 billion, respectively.
Volumes only tell us roughly how popular shares are among traders, who may only be interested in capitalizing on bitcoin’s trademark volatility rather than holding the ETFs long-term.
The dollar value of funds flowing in and out of each ETF is a better indicator of investor sentiment.
- Not counting GBTC, investors piled more than $9 billion into US-listed spot ETFs in their first month.
- GBTC shareholders pulled $6.38 billion from the former closed-ended fund over that time.
- Spot ETFs overall have seen net inflows of $2.63 billion to date.
Read more: A month after launch, spot bitcoin ETF weekly net inflows hit new high
BlackRock and Fidelity’s products are some of the most popular in ETF history, while GBTC outflows have largely been attributed to its high management fee relative to its rivals, 1.5% compared to 0.25% from BlackRock and Fidelity.
BlackRock and Fidelity so far lead the pack for inflows, having respectively pulled in $3.75 billion and $3.5 billion.
Altogether (and excluding GBTC), the spot ETFs held 206,155 BTC ($10.25 billion) as of Monday morning, per CoinGlass.
Those funds manage about 1% of bitcoin’s circulating supply, slightly more than MicroStrategy.
GBTC meanwhile still holds more than 466,000 BTC ($23.2 billion) — more than double all the other US spot ETFs combined.
Get the news in your inbox. Explore Blockworks newsletters:
- Blockworks Daily: Unpacking crypto and the markets.
- Empire: Crypto news and analysis to start your day.
- Forward Guidance: The intersection of crypto, macro and policy.
- 0xResearch: Alpha directly in your inbox.
- Lightspeed: All things Solana.
- The Drop: Apps, games, memes and more.
- Supply Shock: Bitcoin, bitcoin, bitcoin.
