Bitcoin Exchange Traded Funds (ETF) have received a whooping inflow of $306 million in the last 24 hours as positive news about the possible approval of spot Ethereum ETF continues to filter in.
The deadline for the review of the spot Ethereum ETF application by the United States Securities and Exchange Commission is Thursday, and the stance of the regulatory body appears favorable thus far.
According to Decrypt, the already existing Bitcoin ETFs saw over $306 million worth of funds deposited, marking the largest single-day influx in this fund category since earlier this month.
The inflows among the different Bitcoin ETFs were unevenly distributed, with some receiving more than others.
BlackRock’s iShares Bitcoin Trust (IBIT) took in $290 million, while the Fidelity Wise Origin Bitcoin Fund (FBTC) saw $26 million worth of inflows. That was offset by the Bitcoin ETF (BITB) and VanEck Bitcoin Trust (HODL) seeing $4 million and $6 million worth of withdrawals, respectively.
Meanwhile one of the existing Bitcoin ETFs known as Grayscale Bitcoin Trust (GBTC), which has previously witnessed $72.5 million worth of net inflows between May 15 and May 20, was flat on Tuesday,
However, the Bitcoin ETFs are shrinking from the original level it used to be. GBTC and IBIT has now shrunk to $736 million. That’s approximately half what it was less than a month ago.
To tackle this Grayscale appointed a new CEO, Peter Mintzberg and it remains to be seen whether his input will turn around the fortunes of the firm’s flagship bitcoin fund.
Analysts from Standard Chartered are predicting that a spot Ethereum ETF approval will do wonders for the prices of both Bitcoin and Ethereum and the massive inflow of funds in Bitcoin ETFs recently proves that they may be right.
The massive inflow of funds for Bitcoin ETFs is driven by positive sentiments surrounding Ethereum a rival crypto asset. This proves that the success of both coins is intertwined.
The global market cap of cryptos got close to matching an all-time high in mid-March, when the Bitcoin price was on a tear and set its current all-time high of $73,737.94.
As for Ethereum, marching an all-time high price means chasing $4,878 price tag which it last witnessed on November 10, 2021. That’s around the time that prices were booming and the global crypto market capitalization inched past $3 trillion for the first time ever.
Plenty of traders are investing in crypto assets anticipating a bullish trend that will lead to Bitcoin and Ethereum hitting an all-time high following the proposed approval of spot Ethereum ETF.
What To Know
- The Bullish trend which is currently driving up the prices of Bitcoin and Ether and causing massive inflow of funds into Bitcoin ETFs is a result of hopes of an ether (ETH) spot ETF getting approved for trading in the U.S., and a positive outlook for cryptocurrencies from Donald Trump ongoing presidential campaign.
- The Price of Bitcoin is currently $70,000 while that of Ethereum has surged to $3,700.