BlackRock’s Bitcoin exchange-traded fund (ETF) dominated the inflows into spot Bitcoin ETFs in the United States on May 21, accounting for 95% of the total. The overall net inflows for all ETF issuers reached over $300 million, with BlackRock’s iShares Bitcoin Trust (IBIT) receiving $290 million in inflows. This marks a significant turnaround for BlackRock, as it had experienced little to no inflows for the past six weeks. In fact, the inflows on May 21 alone surpassed the total inflows of the previous 21 trading days. The recent surge in inflows to spot Bitcoin ETFs amounts to more than $1 billion in the last four trading days, coinciding with a volatile Bitcoin rally.
According to Farside Investors, BlackRock’s ETF has now accumulated $16 billion in inflows since its launch. However, the official website of the product shows that it currently has $19 billion in assets under management (AUM). This puts BlackRock’s IBIT in close competition with Grayscale, the industry leader, whose Grayscale Bitcoin Trust (GBTC) ETF has $20 billion in AUM.
In contrast to BlackRock’s success, GBTC did not experience any outflows on May 21 and has seen inflows of $72.5 million in the past five days, reversing a trend of consistent outflows over the past four months. However, other ETFs like the VanEck Bitcoin Trust and Bitwise Bitcoin ETF faced outflows of $5.9 million and $4.2 million, respectively. The Fidelity Wise Origin Bitcoin Fund received minor inflows of $25.8 million, while the rest reported no inflows.
The recent enthusiasm for Bitcoin ETFs has been driven by the increasing prices of BTC, which has gained 12% over the past week. Although BTC reached a six-week high of $71,600 on May 21, it dropped below the $70,000 level during early Asian trading on May 22, and its current value stands at $69,444.
Furthermore, the possibility of the U.S. Securities and Exchange Commission approving spot Ether ETFs in the U.S. has also contributed to the positive sentiment in the crypto markets since May 20.
In other news, there is a documentary about the FTX collapse available on Amazon Prime for $2,500, with assistance from the filmmaker’s mother.