Bitcoin ETFs witness unprecedented $742m in capital outflows within a three-day span
Bitcoin ETFs have experienced a significant shift in investor behavior, as they saw their largest three-day withdrawal since their launch in January. This stands in contrast to the high demand that had previously propelled Bitcoin to its all-time high. Between Monday and Wednesday, these ETFs witnessed a withdrawal of $742 million, indicating significant outflows from the Grayscale Bitcoin Trust, as well as a decrease in new investments in competing funds by major firms such as BlackRock and Fidelity Investments.
However, despite this recent trend, Bloomberg data shows that these ETFs have still managed to attract $11.4 billion in net investments since their inception, making them one of the most successful ETF launches. On the other hand, the Grayscale Bitcoin Trust, now transformed into an ETF, reported $13.3 billion in outflows.
While Bitcoin’s rally has cooled down as the market digests the ETF outflow data, its value surged over 5% today. This surge was fueled by the Federal Reserve’s indications of potential interest rate cuts, which have lifted various asset classes. As a result, global stocks and gold continued to rise.
In addition to the surge in Bitcoin’s value, the stock prices of Bitcoin-related companies have also seen notable gains today. MicroStrategy, the largest holder of BTC, witnessed a 15% increase in its share price. Similarly, stocks from leading BTC mining companies like Marathon Digital and Riot Platforms also showed signs of recovery following Bitcoin’s rebound.
In other news, OFAC has imposed sanctions on two individuals who have ties to Garantex, a cryptocurrency exchange. This move is part of the ongoing efforts to counter pro-Kremlin supporters. Stay updated with the latest news by following us on Google News.
