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The Fidelity Bitcoin ETF, Wise Origin Bitcoin Fund (FBTC), experienced its highest daily inflows on Monday, attracting $404.6 million in capital for additional Bitcoin (BTC) purchases.
In contrast, the fund’s second-best performance occurred on January 17, its fourth trading day, when it garnered $358 million in inflows. On most other days, inflows have not exceeded $200 million, although the fund has maintained a continuous inflow streak since January 11.
Significant Day for Fidelity Bitcoin ETF
As reported by BitMEX Research, Fidelity has accumulated $5.2 billion in inflows and currently possesses a total Bitcoin reserve valued at $7.49 billion.
[1/4] Bitcoin ETF Flow – 04 March 2024
All data in. Very strong day with +$562m net flow. Fidelity very strong with a record day
Not the best day for diversity, with smaller players BTCO, HODL & BTCW all having outflows pic.twitter.com/drCrg6EzsN
— BitMEX Research (@BitMEXResearch) March 5, 2024
Despite Fidelity’s achievements, it was unable to surpass BlackRock’s iShares Bitcoin Trust (IBIT), which recorded $420.1 million in inflows on Monday. Collectively, the inflows into both funds significantly exceeded the sell pressure from the Grayscale Bitcoin Trust (GBTC), which amounted to $368 million, resulting in total daily net flows of $562.7 million.
Since its inception on January 11, Bitcoin ETFs have exceeded an AUM of $50 billion as of Tuesday, having started with just under $30 billion, including Grayscale’s holdings. New inflows into these funds have contributed a net increase of $7.9 billion, with the remainder of their growth attributed to Bitcoin’s price rise.
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In total, the new nine Bitcoin ETFs—excluding Grayscale—have attracted over $17 billion in net inflows. For perspective, the first gold ETF took two years to accumulate $10 billion in inflows.
Gold and Bitcoin Reach New All-Time Highs
Gold’s price reached a new all-time high of $2,140 per ounce on Tuesday. While Bitcoin’s price also briefly hit a new all-time high of $69,200, it has since fallen back to $63,100 at the time of writing due to significant liquidations in the crypto market.
“Big moment for Bitcoin but I’d argue just as big a moment for ETFs,” stated Bloomberg ETF analyst Eric Balchunas regarding the asset’s record peak.
According to his analysis, Bitcoin’s rise from $25,000 since June 2023 was largely driven by excitement surrounding the ETFs and the actual inflows into the funds following their launch.
“ETFs (and its ecosystem) so damn good at taking something and making it liquid, cheap, convenient and standardized,” he added. “Both ETFs and bitcoin mutually benefit from one another.”
The post Fidelity Bitcoin ETF Sees Strongest Daily Inflow Since Launch appeared first on Cryptonews.
