BlackRock's Bitcoin ETF has recorded zero inflows for the past two days. Institutional investors exhibit caution amid the current market dynamics.
Institutional caution amid market volatility
According to Farside Investors' data, the last inflow into BlackRock's IBIT was on Nov. 25. Since then, institutional interest has ceased. Analysts attribute this to Bitcoin's market volatility, leaving investors in uncertainty. Despite decreased interest in BlackRock, other players like Bitwise and Grayscale have shown positive performance.
Surprising shift for BlackRock
BlackRock, known for large inflows, recently hit a major milestone, surpassing $40 billion in total assets within 211 days. Earlier in November, IBIT saw trading volume of $1 billion in just 20 minutes. However, the current market volatility has impacted this ETF's performance.
Looking ahead
Analysts suggest that investor caution may persist until significant shifts occur in the cryptocurrency space. As of writing, Bitcoin is trading at $95,269.74, a 0.7% increase in the last 24 hours.
BlackRock faces zero inflows in its Bitcoin ETF due to high volatility. Investors might continue their cautious strategy.
