After several consecutive days of dominance, BlackRock and Fidelity’s Spot Bitcoin ETF at one point on Tuesday trailed Grayscale’s fund in daily volume for the first time since it began trading more than two weeks ago. It seemed possible that it could be surpassed.
Grayscale’s funds are a transformation rather than an entirely new product, shedding billions of dollars after starting with more than $25 billion in assets under management. In terms of total trading volume (buys and sells), BlackRock and Fidelity’s new Spot Bitcoin ETF ranks second and third behind Grayscale.
As of Tuesday’s market close, BlackRock and Fidelity had trading volumes of $383 million and $288 million, respectively, according to Yahoo Finance data compiled by The Block. Grayscale took his No. 1 spot again with $396 million.
Around the midpoint on Tuesday, BlackRock and Fidelity were both leading Grayscale in terms of daily trading volume.
Since trading began this month, the three issuers have dominated total trading volume, at times accounting for about 90% of all trading activity. Other spot Bitcoin ETFs from Invesco, Galaxy, Franklin Templeton and Ark Invest lag far behind the top three.
Total daily trading volume on Tuesday was about $1.2 billion, according to Yahoo Finance data compiled by The Block.
So far, Grayscale’s ETFs have lost more than $5 billion in assets under management. according to James Seifert, ETF analyst at Bloomberg Intelligence. Both BlackRock and Fidelity’s products have net profits of more than $2 billion.
Bitcoin ETF spot total closes to $27 billion
In what appears to be an effort to become more competitive, Invesco and Galaxy Asset Management announced in filings on Monday that they intend to lower fund fees from 0.39% to 0.25%, bringing them in line with most competitors.
Seifert also posted on Tuesday that the total trading volume of all active spot Bitcoin ETFs is approaching $27 billion. Many market observers and crypto enthusiasts are hailing the billions of dollars flowing into new ETFs as a positive development for digital assets.
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