Spot Bitcoin ETF in the U.S. are showing continued poor performance, experiencing a net outflow of $83.6 million on the final trading day of the week. Grayscale GBTC also witnessed an outflow of $82.4 million, slightly lower than the outflows of the preceding two days. This suggests a current lack of interest among institutional investors in Bitcoin ETFs.
Monthly options expired, and Bitcoin’s value dropped compared to rising prices. Financial rules changed regarding investments like ETFs that include cryptocurrencies. This shook the money world due to Bitcoin’s recent struggles.
Bloomberg analyst James Seyffart and Custodia Bank CEO Caitlin Long suggested that the recent announcement by DTCC regarding ETFs featuring Bitcoin exposure having no collateral value for loans is, in fact, beneficial for the crypto market.
Following a brief uptick earlier this week spurred by net inflows into Bitcoin ETFs, the market now faces renewed outflows, casting a shadow over ETF interest. Bloomberg and Farside Investors data from April 27 reveals a total net outflow of $83.6 million from spot Bitcoin ETFs. Across the 11 listed spot Bitcoin ETFs, trading volumes and buying activity notably dwindled, marking another disappointing day for the market.
ARKB Bitcoin ETF: Modest Inflow Amidst Outflows
The Ark 21Shares Bitcoin ETF’s (ARKB) stood out as the sole Bitcoin ETF experiencing an inflow, albeit a modest one at $5.4 million. This uptick was anticipated due to buying interest from the ARK funds, which divested all holdings in the ProShares Bitcoin Strategy ETF (BITO). Following this activity, ARKB shares experienced a 1.84% decline during trading hours, but rebounded with a 0.61% increase after the market closed.
Fidelity Bitcoin ETF (FBTC) and Bitwise Bitcoin ETF (BITB) experienced withdrawals of $2.8 million and $3.8 million, respectively, on Friday. This marked the second consecutive day of outflows from the two leading Bitcoin ETFs, both boasting substantial Bitcoin reserves.
Republic First Bank, in a first for regional banks this year, yielded to the strain of elevated interest rates set by the U.S. Federal Reserve.
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