Record Outflows in BlackRock's Bitcoin ETF
BlackRock iShares Bitcoin Trust (IBIT) experienced its highest single-day outflow ever on January 2.
With the resumption of transactions in the USA, an outflow of $ 242.3 million was recorded from a total of 12 Bitcoin ETFs. BlackRock’s spot Bitcoin ETF had its biggest outflow since launch with $332.62 million on Jan. 2, according to SoSoValue data.
This completed a streak in which the fund experienced three consecutive days of outflows, withdrawing a total of $392.6 million.
These outbursts are considered to be a temporary situation. BlackRock’s IBIT fund recorded the third-highest inflows among all U.S. ETFs in 2024.
While the fund received a total inflow of $37.2 billion, Vanguard 500 Index Fund (VOO) ranked first with $116 billion and iShares Core S&P 500 ETF (IVV) ranked second with $89 billion.
According to a Jan. 2 post by Bloomberg analyst Eric Balchunas, BlackRock’s IBIT performed strongly in the overall entry rankings.
While there were major outflows in BlackRock’s IBIT fund, a different picture emerged in other Bitcoin ETFs. Bitwise’s BITB fund recorded $48.31 million, Fidelity’s FBTC fund $36.2 million, and Ark 21Shares’ ARKB fund recorded $16.54 million.
Grayscale’s Bitcoin Mini Trust and VanEck’s HODL funds received inflows of $6.89 million and $5.51 million, respectively, while Grayscale’s larger GBTC fund saw outflows of $23.13 million.
The total daily trading volume of these ETFs rose to $3.24 billion on January 2. This figure surpassed the $2.25 billion recorded on the previous trading day. At the time of writing, Bitcoin was trading at $96,893, an increase of 2% in the last 24 hours.
There was a total outflow of $77.51 million in Ethereum ETFs on January 2. The bulk of these outflows came from Bitwise’s ETHW fund ($56.11 million) and Grayscale’s ETHE fund ($21.4 million). There was no movement in the other seven Ethereum ETFs. Ethereum price increased by 1.7% in the last 24 hours to $3,458.
ETF Store President Nate Geraci shared his predictions for crypto ETFs for 2025.
Geraci stated that he expects spot Bitcoin and Ethereum ETFs to be merged, options trading for spot Ethereum ETFs to begin, and creation and redemption mechanisms for Bitcoin and Ethereum spot ETFs to be implemented.
He also predicted that staking features for spot Ether funds will be added and the spot Solana ETF will be approved.
Geraci showed a very assertive attitude in his predictions by saying, “All of these will happen.”
These developments show that interest in crypto investment products may increase and diversify and create new opportunities in the market.