US spot bitcoin ETF rebound continues with nearly $1 billion in net weekly inflows

The turnaround for flows into U.S. spot bitcoin exchange-traded funds continued last week, registering $948.3 million in net inflows. Added to the $116.8 million worth of net inflows generated the week prior, the ETFs have now fully recovered from four weeks of consecutive inflows spanning most of April, totaling $1.05 billion.

No total net outflows were witnessed for the combined funds any day last week, with Grayscale’s higher-fee GBTC the only spot bitcoin ETF to register any daily net outflows, losing $50.9 million on Tuesday. However, this was more than covered by $63.2 million worth of net daily inflows across the remainder of the week, meaning GBTC generated $12.3 million in net weekly inflows — the first registered by the converted product.

Fidelity’s FBTC dominated the net inflows for a second week, adding $344.5 million. Ark Invest’s ARKB was second with $243.7 million worth of net inflows. BlackRock’s IBIT spot bitcoin ETF — which had been dominant until a spate of zero-flow days in recent weeks — came third last week, bringing in $131.8 million.

Total net inflows since the ETFs began trading in January are now back above the $12.5 billion mark.

 

However, overall flows for the spot bitcoin ETFs have slowed significantly since peaking at a net daily inflow of $1.05 billion on March 12, according to The Block’s data dashboard . Bitcoin BTC -0.45% subsequently dropped 23% from its latest all-time high of $73,836 on March 14 to a low of $56,500 on May 1.

Coinciding with the increased net weekly inflows, the price of bitcoin has gained around 8% over the past seven days. Bitcoin is currently trading for $67,236, according to The Block’s price page .

Increased inflows following U.S. CPI report

Last week’s inflows were an immediate response to the cooler U.S. CPI report on Wednesday, with the last three trading days of the week making up over 80% of the total weekly flows, CoinShares Head of Research James Butterfill wrote on Monday.

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However, outflows from digital asset investment products in Hong Kong, Canada and Sweden meant that overall global inflows for crypto exchange-traded products were $932 million last week, according to CoinShares.

While bitcoin flows dominate, “Ethereum continues to suffer from bearishness over the prospects for an SEC approval of a spot-based ETF this week with further outflows of $23 million [last week],” Butterfill added.

BlackRock’s spot bitcoin ETF hits record market share by daily volume

Trading volume for the U.S. spot bitcoin ETFs picked up slightly last week to reach $8.5 billion, having generated $7.4 billion in the week prior, according to The Block’s data dashboard .

 

Despite losing dominance in terms of inflows in recent weeks, BlackRock’s IBIT hit a record market share by trading volume of 55.2% on Thursday, further eating into the market share of Grayscale’s GBTC fund, which has fallen from 50.5% to 18.5% since the Jan. 11 launch. Fidelity’s FBTC is third at 17.7%.

 

BlackRock is also closing in on Grayscale in terms of assets under management, with IBIT now holding over 276,759 BTC ($18.6 billion) compared to GBTC’s 288,954 BTC ($19.4 billion), according to their respective fund pages.