KEY POINTS:
- Bitcoin ETFs see three consecutive days of outflows, totaling $742 million.
- Grayscale’s GBTC leads the negative trend with a $386.6 million outflow recorded on Wednesday.
- Yet, since its inception, U.S. Bitcoin ETFs have accumulated $11.42 billion in net inflows.
Funds to Bitcoin spot exchange-traded funds (ETFs) have witnessed the third day of consecutive negative flow amid Bitcoin’s recent downturn. In a post on X, market tracker Spot On Chain called attention to the negative flow trend of the Bitcoin ETFs. Per the disclosure, the crypto ETFs have seen a net loss of $742 million in the last three days.
The statistics indicated that yesterday, March 20, the Bitcoin ETFs witnessed a net negative flow of $262 million. Notably, the negative flow was primarily influenced by the unyielding outflows from Grayscale’s GBTC.
In particular, Grayscale registered another $386.6 million in negative influx on Wednesday. The figure counterbalanced the positive funds recorded for the overwhelming majority, including BlackRock, Fidelity, Ark Invest, and Bitwise ETFs.
Since the approval of Bitcoin spot ETFs in January, Grayscale’s ETF has continuously witnessed negative outflow. Recent reports suggest Grayscale’s ETF has been drained of over $12 billion, attributed to its expensive fees.
While the trend has persisted for over three months, the influx from other Bitcoin ETFs has countered Grayscale’s negative inflow. Consequently, the U.S.-listed crypto ETFs have seen a cumulative positive flow exceeding $11.42 billion since inception.
The influx of funds to these ETFs has reduced significantly since last week as Bitcoin undergoes severe price corrections. For instance, on March 13, the Bitcoin investment products recorded a staggering 87% decline in inflows amid Bitcoin crashing to around $65k. The gap in positive inflows continued to shrink until dropping to a negative value on Monday.
Nonetheless, U.S. Bitcoin ETFs have seen more positive days of inflow than negative since inception. In the last three months, net flows have been negative only five times, as depicted in Spot On Chain’s chart.
