US Bitcoin ETFs Hit Milestone: Trading Volume Soars Over 150 Billion Dollars

Crypto News- Just a little over two months after the Securities and Exchange Commission gave the green light to ETFs from major players like BlackRock, Fidelity, and Bitwise, the cumulative trading volume for US spot bitcoin exchange-traded funds has soared past a whopping $150 billion mark. This remarkable feat was achieved on Tuesday, marking a significant milestone for the crypto investment realm.

Since March 8th, the trading volume for spot bitcoin ETFs has surged by an impressive $50 billion alone. By the end of yesterday’s trading session, the total trading volume stood at a staggering $151.4 billion, as reported by The Block’s data dashboard.

US Bitcoin ETFs Hit Milestone: Trading Volume Soars Over 150 Billion Dollars

Tuesday witnessed a robust trading activity, with spot bitcoin ETFs clocking in a trading volume of $5.6 billion. BlackRock’s IBIT led the pack with $2.5 billion, closely followed by Grayscale’s GBTC and Fidelity’s FBTC, boasting $1.5 billion and $962 million, respectively.

Interestingly, Grayscale’s GBTC, known for its higher fee structure, has seen a gradual decline in market share, dropping from 50.5% to 26.5% since the launch of spot bitcoin ETFs. On the flip side, BlackRock’s IBIT has emerged as a major player, increasing its market share from 22.1% to 45.2%.

However, despite the soaring trading volumes, Tuesday marked a record-breaking net outflow of $326.2 million for US spot bitcoin ETFs. This outflow surpassed the previous record set on January 24, according to BitMEX Research data.

GBTC Outflows Lead, BlackRock and Fidelity ETFs Decline

Grayscale’s GBTC experienced significant outflows, totaling $443.5 million, while other funds also witnessed subdued inflows. BlackRock’s ETF, which usually dominates, saw a significant drop, along with Fidelity’s FBTC.

The fluctuations in spot bitcoin ETF flows have played a crucial role in influencing bitcoin’s price action. GSR research analyst Brian Rudick highlighted the impact of these flows on bitcoin’s recent price decline, emphasizing the role of retail investors.

Despite the recent outflows and market volatility, Rudick remains optimistic about the long-term prospects of spot bitcoin ETFs, expecting inflows to surpass expectations.

As bitcoin continues to navigate through market fluctuations, its current price stands at $63,170, reflecting a notable 50% increase year-to-date, according to The Block’s price page.