2024-02-02 19:04:19
Investing.com – Grayscale’s mutual fund-turned-ETF led trading volume after ETFs began appearing on the spot market. But yesterday, the investment fund surpassed GBTC’s trading volume for the first time.
According to data from the portal The Block, the IBIT ETF had a turnover of 303.97 million dollars yesterday. GBTC turned over 292.37 million dollars. Fidelity’s ETF came in third place with $171.84 million.
On the other hand, with the continued decline of GBTC trading volume, the total trading volume fell below 1 billion dollars for the first time since the launch of ETF investment funds. The accumulated trading volume reached close to 30 billion dollars. However, while IBIT and maintained positive net inflows, GBTC outflows reduced to the lowest level since launch at $182 million, resulting in a net inflow of $38.5 million yesterday.
GBTC continues to lose market share
According to data from BitMEX Research, while 9 other ETF products saw a total of $7.2 billion in inflows, GBTC saw outflows of $5.8 billion in two weeks. These outflows are linked to both GBTC’s high transaction fees and profit-taking sales.
Experts pointed out that in 2023, investors bought the GBTC product expecting a possible conversion to ETF at a discounted price, and then sold it at a profit after the conversion, instead of keeping the ETF investment. This generated pressure on GBTC, affecting the cryptocurrency market. However, analysts pointed out in their latest reports that, with the end of sales to make a profit, this pressure has decreased.
As a result, GBTC’s market share, based on trading volume, fell from 63.9% to 31.4%. With the reduction in selling pressure associated with ETF redemptions, a partial recovery in the price of . After falling to the $38,000 range the previous week, Bitcoin recovered this week, returning to $43,000 levels.
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