Bitcoin ETFs witness massive inflows of 294m despite BTCs decline below 67K
Bitcoin exchange-traded funds (ETFs) experienced a surge in net inflows despite a drop in Bitcoin’s price. On October 22, Bitcoin’s price fell by 3.25%, going from a high of $69,227 to a low of $66,975. This decline resulted in long liquidations worth over $167 million across the crypto market, with Bitcoin accounting for $40.53 million of these liquidations. Ethereum surpassed Bitcoin in long liquidations with $55.9 million.
Currently, Bitcoin is trading at around $67,500, down 2.3% in the past 24 hours. However, despite the price drop, investor confidence in spot Bitcoin ETFs remained strong. These ETFs have seen seven consecutive days of inflows. Last week alone, U.S.-based spot Bitcoin ETFs received over $2.1 billion in total inflows, and this trend continued with an additional $294.29 million at the beginning of this week.
Leading the charge on October 21 was BlackRock’s IBIT, attracting $329.03 million in inflows. The IBIT fund has become a popular investment choice for those seeking exposure to Bitcoin, accumulating over $1 billion in net inflows last week alone, which accounted for half of all U.S. spot Bitcoin ETF inflows. This strong performance has propelled IBIT to surpass Vanguard’s Total Stock Market ETF in year-to-date inflows, making it the third overall in terms of inflows, according to Bloomberg ETF analyst Eric Balchunas.
Fidelity’s FBTC also reported gains, with approximately $5.9 million in inflows on Monday. However, not all ETFs experienced the same success. Competing funds like Bitwise’s BITB, ARK, 21Shares’ ARKB, VanEck’s HODL, and Grayscale’s GBTC faced redemptions totaling over $40 million, while other ETFs didn’t see any inflows.
On the other hand, Ethereum-based ETFs faced outflows during the market downturn. On October 21, spot Ethereum ETFs experienced net outflows of $20.8 million, ending a three-day streak of inflows. Grayscale’s ETHE had the highest outflows, with $29.58 million leaving the fund. However, BlackRock’s ETHA and VanEck’s ETHV managed to offset some of the outflows, recording inflows of $4.86 million and $3.92 million, respectively. The remaining spot Ethereum ETFs didn’t see any activity for the day.
At the time of writing, Ethereum is trading at $2,643, down 3.4% in the past 24 hours.
Read more: Is Bitcoin preparing for a $100K surge? Here’s what’s happening behind the scenes.
