Key Points
- Spot Bitcoin ETF flows are expected to stay high until the upcoming Bitcoin halving event.
- On-chain analytics firm Santiment predicts that this high ETF activity will continue leading up to the Bitcoin halving.
On-chain analytics firm Santiment has noted that the flow of spot Bitcoin exchange-traded fund (ETF) is likely to remain high until the upcoming Bitcoin halving event.
Bitcoin ETF Volume Continues to Rise
Santiment observed that the volume of Bitcoin ETF has not slowed down since the cryptocurrency reached its all-time high in mid-March. The firm also noted that trader activity has remained significantly higher since late February, when individual trading began to increase.
Santiment further predicts that the high ETF activity is likely to continue until the Bitcoin halving event, which is expected to occur in about two weeks. The Bitcoin halving event, which takes place every four years, is predicted to occur on April 20.
Bitcoin ETF Volumes Soar
According to Santiment, there has been $3.19 billion in daily volume between the top seven ETFs. However, it will be interesting to see whether a drop-off in ETF volume and on-chain volume will occur directly afterward.
The volume of spot Bitcoin ETFs soared to $111 billion in March, almost tripling the volume for the previous month. This highlights the consistent interest in these products.
Bitcoin ETF inflows picked up at the end of last week, with two days of more than $200 million in net inflow on April 4 and 5. This followed a few low days earlier in the week with an $85.7 million outflow on April 1.
Despite the high inflow, Grayscale continues to pull the aggregate figures down with consistent outflows every trading day since it converted to a spot ETF in mid-January. Last week, the firm’s GBTC fund shed $738 million, bringing the total amount of BTC outflow from the product to 294,313 BTC.
Ripple CEO Brad Garlinghouse remains optimistic about the crypto market. He predicted that the total crypto market value will double this year, primarily driven by spot ETFs and the Bitcoin halving.
