Bitcoin spot ETF monthly trading volume approaches $70.000 billion.
Bloomberg ETF expert Eric Balchunas said that Bitcoin-based mutual funds are seeing astonishing trading volume and overall success, greater than any of the other ETFs approved this year.
On his X account (formerly Twitter), Balchunas highlighted that of the 108 investment funds that were authorized by the Securities and Exchange Commission this 2024, Bitcoin spot ETFs occupy the top spots in a ranking table. Even the WisdomTree Bitcoin Fund, WisdomTree's Bitcoin ETF listed on the Cboe under the ticker BTCW, has a healthy 1.078 BTC in reserves, worth around $74 million, he highlighted the expert.
Regarding the volume of operations that Bitcoin-based ETFs are generating, Balchunas commented that this metric has doubled in just two months that these funds have been trading on the markets.
In January, the monthly trading volume of spot ETFs was just over $30.000 billion. In February, this volume was close to $45.000 billion, while so far this month it has already exceeded $65.000 billion.
“March is only half over, but it has already surpassed February and January numbers with $65 billion”, commented the analyst, in relation to the impressive volume of operations registered by these investment funds.
The remarkable activity experienced by Bitcoin spot ETFs is mainly due to the growing demand from institutional investors for the market-leading cryptocurrency.
Bitcoin has been gaining ground in the financial sector, as its price has been marking new all-time highs. According to data from CoinMarketCap, Bitcoin price reached $73.750,07 per BTC, March 14thThis is, so far, the highest price ever recorded by the cryptocurrency.
Bitcoin ETFs see record inflows
On the other hand, James Butterfill, head of research at CoinShares, noted last week that so far this year, Total inflows into Bitcoin investment funds reached $10.300 billion. This figure is just below the record inflows that cryptocurrency-based investment products experienced in all of 2021, which was $10.600 billion.
Like Balchunas, Butterfill highlights that there is a growing and genuine interest in Bitcoin, which has become “the focus of investors”, Emphasized.
In the Weekly Report No. 173 on inflows into cryptocurrency-based investment funds, Butterfill noted that regionally, the greatest interest in Bitcoin-based funds is occurring in the United States, with US investors recording weekly inflows of $2.800 billion. In total, Bitcoin ETFs accumulate 834.282 BTC in reserves, at the time of writing this article.
Although the Bitcoin price has corrected 10% from its current all-time high, it remains of great interest in the market. At the time of writing, the Bitcoin price is trading at around $66.000.
Onchain analyst Skew highlighted that the Bitcoin price drop occurred following the Federal Reserve meeting last week and that large institutional investors are prepared to increase their BTC holdings amid this price correction. “Big buyers tend to get ahead of the curve to absorb sellers”, Indian the analyst from his X account.
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