Bitcoin exchange-traded funds (ETFs) experienced a noteworthy net inflow of $222 million on May 17, 2024, signaling a positive trend for the entire trading week. The price of Bitcoin saw a significant rebound of 10.3% over the past seven days, adding to the optimism in the market.
Grayscale Bitcoin Trust (GBTC) has been attracting single-day inflows for three consecutive trading days, while Fidelity’s Bitcoin ETF (FBTC) took the lead with the highest single-day inflow of $99.4 million. BlackRock’s Bitcoin ETF (IBIT) followed closely behind with an inflow of $38.1 million.
Market sentiment and analyst insights provided by Bloomberg’s Eric Balchunas shed light on the positive outlook surrounding Bitcoin ETFs. Balchunas highlighted the pattern of last-minute pessimistic predictions before significant approvals, similar to what was observed before the spot Bitcoin ETF approval. These predictions serve as risk-free public relations moves for commentators seeking notoriety, with no consequence if they are proven wrong.
The consistent net inflows and substantial single-day inflows demonstrate strong investor confidence in Bitcoin ETFs. The positive price movement of Bitcoin further reinforces this sentiment, indicating a promising market outlook for the cryptocurrency and its associated investment vehicles.