BlackRock’s Bitcoin ETF has recorded its second-ever outflow day since its launch in January.
IBIT Capital Outflow
On August 29, the iShares Bitcoin Trust ETF (IBIT) by BlackRock recorded a net outflow of $13.5 million. This is the second instance of outflow following a record outflow of $36.9 million on May 1. According to Farside Investors, the first instance marked the worst day on record for Bitcoin ETFs, with total outflows of $563.7 million.
Bitcoin ETF Market
On August 29, the total net outflows from 11 U.S.-based Bitcoin ETFs stood at $71.8 million. BlackRock's fund was the third largest in terms of outflows, following the Fidelity Wise Origin Bitcoin Fund (FBTC) with $31.1 million and the Grayscale Bitcoin Trust (GBTC) with $22.7 million. This comes after the IBIT recorded a $224.1 million net inflow on August 26, its largest since July 22 when it saw $526.7 million in inflows.
Price Dynamics and Other Funds
On August 29, Cathie Wood’s ARK 21Shares Bitcoin ETF was the only fund to register net inflows, with $5.3 million. The latest outflows from Bitcoin ETFs coincide with a broader downturn in Bitcoin’s price, which has dipped by approximately 3.43% over the last seven days to trade at $58,751, according to CoinMarketCap. Meanwhile, U.S.-based spot Ether ETFs saw minor joint outflows of $1.7 million on August 29, with seven out of nine Ether ETFs registering zero flows.
The occurrences of capital outflows in Bitcoin and Ether ETFs add diverse data points to the overall analysis of the cryptocurrency market dynamics. It is crucial to monitor these changes to understand investor sentiment and future trends.
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