Bitcoin ETF snapshot: Net inflows slow, but continue prior to BTC price rise

Bankrupt lender Genesis has “fully monetized” its nearly 36 million GBTC shares, court documents show


PurpleRender/Shutterstock modified by Blockworks


Net inflows into spot bitcoin ETFs slowed last week, but remained positive before bitcoin’s price shot up above $72,000 Monday morning.

Bankrupt lender Genesis finished selling its shares of the Grayscale Bitcoin Trust ETF (GBTC) — a process that appeared to periodically weigh down the segment from a flows perspective.

The 11-fund US BTC fund segment reeled in $485 million of positive net flows from April 1 to April 5, according to Farside Investors data.

Read more: ETFs helped ‘legitimize’ bitcoin ahead of halving: Q&A

The total — reflecting an average daily net inflow of $97 million — was a slowdown from the average daily inflows of $211 million seen during the week prior, and the $214 million daily average since the ETFs launched on Jan. 11.  

Year-to-date inflows into digital asset investment products hit $13.8 billion last week. This was driven by the spot bitcoin ETFs, CoinShares research head James Butterfill said in a Monday report. This total is already by far more than the $10.6 billion seen in all of 2021. 

“Despite this, there are signs that appetite from ETF investors is moderating, not achieving the weekly flow levels seen in early March,” Butterfill noted. “Volumes last week declined to $17.4 billion for the week compared to $43 billion in the first week of March.”

Read more: Bitcoin ETF snapshot: Segment’s week net inflows hit record $2.5B

BlackRock’s iShares Bitcoin Trust (IBIT) led the segment once again, with $811 million of net inflows last week. Fidelity’s Wise Origin Bitcoin Fund (FBTC) followed, bringing in $395 million. 

Grayscale Investments’ Bitcoin Trust ETF (GBTC) continued to bleed assets, tallying $738 million of net outflows during the week. The average daily net outflows from the Grayscale offering stood at $148 million from April 1 to April 5 — down from $242 million during the week prior. 

GBTC net outflows had accelerated in mid-March, leading to asset losses for the bitcoin ETF sector at large. 

Industry watchers had noted a potential driver was bankrupt lender Genesis offloading its GBTC shares. The holdings were worth roughly $1.6 billion in mid-February.   

But court documents filed Friday show that Genesis and its affiliates had “fully monetized” their nearly 36 million GBTC shares as of April 2. Proceeds of the sales were used to buy 32,041 BTC, the filings indicate.

Spot bitcoin ETF inflows have helped drive a record seven-month streak of bitcoin price growth. 

But Fineqia research analyst Matteo Greco told Blockworks there has been “increased profit-taking” among bitcoin ETF investors, adding that could spell “the possibility of a downward trend in April or in one of the following months.”

Read more: Why BTC’s record monthly growth streak could be in jeopardy

The price of bitcoin (BTC) was roughly $72,400 at 7:30 am ET — up about 1.6% from a week ago. 

Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter.

The Lightspeed newsletter is all things Solana, in your inbox, every day. Subscribe to daily Solana news from Jack Kubinec and Jeff Albus.


Upcoming Events

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Research report cover graphics (4).jpg


Despite crypto gaming related projects and funds raising close to a billion dollars in November 2021, there have been only a handful of games that have attracted users apart from mercenary capital, and have had sustained activity for longer than a few months. Crypto gaming is going through an infrastructure phase. Theoretically, crypto gaming stands to benefit from purpose-built, high throughput chains, where blockspace is cheap (especially for games which are fully onchain). However, despite the launch of many gaming-focused chains, most crypto games are lacking in quality and quantity. Most new crypto gaming infrastructure either have no games or only a few games launched (e.g. Xai) or have failed to garner meaningful attention (e.g. Immutable X).


As Bloomberg analysts up their ether ETF approval odds, concerns about ETH’s liquidity and its possible status as a security remain


Ethereum is becoming a multilayered lasagna-like system, pushing people to the margins with its complexity and fees


Ether would be set to re-test its 2021 price high should the regulator unexpectedly approve ETH funds, industry watchers say


The Financial Innovation and Technology for the 21st Century Act, known as the FIT21 Act, is expected to head to the floor for a vote in the House in the afternoon on May 22


NYAG announced details about its settlement with bankrupt lender Genesis on Monday


The $948 million of inflows from May 13 to May 17 roughly equaled the net money that left the fund category over the five prior weeks