Key Points
Nine newly established spot Bitcoin exchange-traded funds (ETFs) have seen their combined trading volumes surpass $2 billion for two consecutive days, indicating strong demand and interest.
On February 27th, Bloomberg ETF analyst Eric Balchunas referred to this as “another intense volume day for the Nine”, excluding the Grayscale converted Bitcoin trust from this group.
Record-breaking Volumes
BlackRock’s ETF set a new daily volume record of $1.3 billion, outperforming most large-cap stocks in the United States.
Balchunas was unsure if this was a “new normal” or a temporary surge related to algorithmic trading or arbitrage.
BlackRock’s iShares Bitcoin ETF (IBIT) recorded over 100,000 individual trades on February 27th, a significant increase from the usual 30,000 to 60,000 average daily trades.
The Fidelity Wise Origin Bitcoin Fund (FBTC) experienced $578 million in daily volume, while the ARK 21Shares Bitcoin ETF (ARKB) was the third-highest ETF in terms of trade volume at $204 million.
This marked the second consecutive day that the nine new ETFs have exceeded $2 billion in daily volume since their inception on January 11th.
On February 26th, the trading volumes for the nine funds reached a high of $2.4 billion, surpassing the previous record of $2.2 billion set on their first trading day.
These figures do not include volume from the Grayscale Bitcoin Trust (GBTC), which experienced an outflow of $22.4 million on February 26th and $125.6 million on February 27th, according to preliminary data from Farside Investors.
On February 28th, ETF Store President Nate Geraci shared a graph illustrating the declining share of Grayscale’s ETF volume in comparison to the other funds.
Farside’s initial flow data reveals a combined net inflow of $574 million for the ETFs on February 27th, surpassing the $520 million from the previous day despite a larger outflow from Grayscale.
BlackRock’s IBIT experienced $520 million in net inflows, while Fidelity’s FBTC saw $126 million. Bitwise’s fund came in third, with $18.3 million of inflows.
