Spot Bitcoin ETFs have seen a remarkable influx of $2.11 billion in net inflows over just the past five trading days, underscoring a robust and continued interest in this asset class. Recent data from SoSo Value highlights that on October 17 alone, Bitcoin ETFs experienced a substantial daily net inflow of $470.48 million. With the cumulative inflows now totaling a record-breaking $20.66 billion, the enthusiasm for Bitcoin-related investments appears to be gaining momentum.
BlackRock’s Dominance in Bitcoin ETFs
When it comes to net inflows, BlackRock’s Bitcoin ETF (IBIT), which is listed on NASDAQ, has emerged as a leader. On October 17, this ETF accounted for a net inflow of $309 million, significantly contributing to the overall daily inflow of Bitcoin ETFs. Currently, BlackRock’s ETF boasts impressive total net assets of $25.79 billion, maintaining a strong position in the Bitcoin ETF landscape.
In contrast, other notable ETFs are also experiencing varied inflow levels. Grayscale’s Bitcoin Trust (GBTC) was able to secure a smaller net inflow of $45.7 million on the same day, although it has faced cumulative outflows totaling $20.10 billion. Meanwhile, Fidelity’s Bitcoin ETF (FBTC), traded on the CBOE, recorded a net inflow of $11.69 million, raising its total net assets to $10.29 billion. Overall, Bitcoin spot ETFs collectively achieved a net inflow of $470 million on October 17, pointing to a diverse landscape of asset managers competing for investor interest.
Investor Interest in Ethereum ETFs
The momentum isn’t limited to Bitcoin; Ethereum ETFs are also enjoying a resurgence in interest. On October 17, Ethereum ETFs recorded a daily net inflow of $48.41 million. BlackRock’s Ethereum ETF (ETHA) distinguished itself with a net inflow of $23.56 million, while Grayscale’s Ethereum Trust (ETHE) managed a smaller influx of $5.13 million, bringing its total net assets to $1.02 billion. Additionally, Fidelity’s Ethereum ETF (FETH) attracted a notable $31.12 million in net inflows, contributing to its cumulative total of $498.02 million.
Interestingly, despite these inflows, Ethereum ETFs face a challenging cumulative net inflow situation, currently at -$481.9 million. Grayscale’s second listing for Ethereum, ETHE, unfortunately reported a net outflow of $15.74 million on the same day. Regardless, the total net assets across all Ethereum ETFs have reached $7.18 billion, which represents about 2.30% of Ethereum’s total market capitalization.
Rising Interest in Crypto ETFs Among U.S. Investors
A recent survey conducted by Charles Schwab reveals that nearly half of U.S. investors are eyeing investments in crypto ETFs. The survey showed a notable increase, with 45% of respondents expressing plans to invest in cryptocurrency through ETFs in the upcoming year, compared to 38% the previous year. This growing interest in crypto now surpasses demand for bonds and alternative assets, trailing only behind U.S. equities, where 55% of participants intend to invest.
Among millennial ETF investors, enthusiasm for cryptocurrency is particularly pronounced, with 62% planning to allocate funds to crypto, in contrast to 48% for U.S. stocks, 47% for bonds, and 46% for real assets like commodities. Conversely, baby boomer ETF investors show significantly less interest in the digital asset space, with only 15% planning to invest in cryptocurrencies. Eric Balchunas, a senior ETF analyst at Bloomberg Intelligence, remarked on the surprising level of interest in crypto, stating, “Pretty stunning” given crypto’s high ranking in investment plans from the survey.
In summary, the growing trends reflected in both Bitcoin and Ethereum ETF inflows, coupled with increasing investor interest across various demographics, underscore a significant shift in the investment landscape towards cryptocurrency assets.