The crypto market has eventually clicked into gear after long hibernation. Some Bitcoin-based ETFs hit the jackpot. After the US Securities and Exchange Commission (SEC) approved the new exchange product, spot Bitcoin ETFs launched by BlackRock and Fidelity entered the top 10 ETFs in the US. These two investment firms recorded an overall inflow worth $4.8 billion after the new exchange product had been rolled out.
BlackRock and Fidelity relied on this success. BlackRock’s iShares Bitcoin Trust (IBIT) traded on the Nasdaq landed 8th among all ETFs in January by largest flows. The trading volume of this product equaled $2.6 billion. Fidelity’s Wise Origin Bitcoin ETF (FBTC) available on the CBOE exchange ranks 10th in January with a trading volume of $2.2 billion.
As of the end of 2023, 3,109 exchange-traded funds operated in the US. On January 11, 2024, the US Securities and Exchange Commission greenlighted applications for spot Bitcoin ETFs to a dozen asset management firms. Grayscale launched its product GBTC which earlier acted as a Bitcoin-based trust.
According to Morningstar’s estimates, GBTC ranked second in January in terms of the investment inflow among all ETFs. The funds injected in Grayscale amounted to $5.7 billion. Remarkably, the top 10 BTC ETFs attracted funds worth $829.69 million for 6 days in a row.
ETF Store President Nate Geraci said that IBIT and FBTC are obviously taking the lead among newly launched Bitcoin-based exchange instruments. The expert also praised Bitwise ETF (BITB) and the joint product of ARK Invest and 21Shares (ARKB). Nate Geraci predicts that each of the top ETFs will be able to manage $1 billion in assets attracted by their own spot Bitcoin products in the medium term.