Bitcoin and Ethereum ETF Inflows Surge in the US
Exchange-traded funds (ETFs) for Bitcoin and Ethereum in the US experienced a significant increase in inflows, totaling $655 million on Jan. 30. This surge indicates a strong resurgence in investor interest following the approval of a Bitwise fund by the US Securities and Exchange Commission (SEC).
Bitcoin ETF Flows
- Spot Bitcoin ETFs saw net inflows of $588.22 million on Jan. 30.
- BlackRock’s IBIT led with $321.5 million, followed by Fidelity’s FBTC with $209.14 million.
- Other funds like Bitwise’s BITB and ARK 21Shares’ ARKB recorded cumulative inflows of around $35 million.
- Franklin Templeton’s EZBC added $6.11 million, VanEck’s HODL gained $5.97 million, and Invesco Galaxy’s BTCO attracted $5.24 million.
- Grayscale’s Mini Bitcoin Trust rounded out the day with $4.65 million in new investments.
Total net inflows for spot Bitcoin ETFs have now surpassed $40 billion, collectively managing $123.43 billion in assets, representing 5.94% of Bitcoin’s total circulating supply.
Ethereum ETF Flows
- Nine Ethereum ETFs generated $67.77 million in net inflows.
- BlackRock’s ETHA led with $79.86 million, followed by Fidelity’s FETH at $15.41 million.
- Grayscale’s Mini Ethereum Trust gained $12.79 million.
- Grayscale’s Ethereum Trust reported losses with outflows totaling $40.29 million.
SEC Approval of Bitwise Fund
The SEC approved NYSE Arca’s application to list and trade shares of Bitwise’s Bitcoin and Ethereum ETF on Jan. 30. Initially proposed in November, the fund exposes investors to both assets in a single product, tracking their spot prices with allocations based on market capitalization.
According to the regulator, the amended filing is similar to other approved spot Bitcoin and spot Ether ETPs, allowing for accelerated approval of the Proposal.
Bloomberg analyst Eric Balchunas noted the quick approval process, suggesting a potential shift in the SEC’s stance on crypto-related financial products.
He stated, “They approved in 45 days vs waiting 240 days. I really want to interpret this as a sign the new SEC will be faster but no way to know really. Litecoin on deck, know more soon.”