Menu

Categories:

Hot right now:

Follow on:

Coinsurges provides coverage of fintech, blockchain, and Bitcoin, delivering the most recent news and analyses on the future of money. Stay up-to-date with live prices, charts, and trading options for the top exchanges. Keep track of the day's top cryptocurrency gainers and losers, as well as which coins have experienced gains and losses in the past 24 hours.
Trust Coinsurges as your go-to source for all news and updates in the industry.

Menu

Categories:

Hot right now:

Follow on:

Coinsurges provides coverage of fintech, blockchain, and Bitcoin, delivering the most recent news and analyses on the future of money. Stay up-to-date with live prices, charts, and trading options for the top exchanges. Keep track of the day's top cryptocurrency gainers and losers, as well as which coins have experienced gains and losses in the past 24 hours.
Trust Coinsurges as your go-to source for all news and updates in the industry.

First Time In 71 Days: BlackRock’s Bitcoin ETF ‘IBIT’ Registers Zero Inflows

Share This Post

In a noteworthy development for the Bitcoin (BTC) market, BlackRock’s Bitcoin ETF, under the ticker name IBIT, has experienced a significant shift in trading dynamics. 

After an impressive streak of 71 consecutive days of inflows, IBIT recorded zero inflows during Wednesday’s trading session, marking the first time in nearly three months.

Turning Point For BlackRock’s Bitcoin ETF? 

IBIT had emerged as a frontrunner in the race among Bitcoin ETFs, securing the top spot in inflows and trading volume. However, this recent halt in inflows signals a potential turning point for the fund, albeit falling just short of claiming the record for consecutive inflow days.

Eric Balchunas, an ETF expert at Bloomberg, highlighted the significance of IBIT’s 71-day streak of inflows, noting that it is close to a record and underscoring its formidable performance since its launch. 

By comparison, Balchunas points out that even the popular gold ETF, GLD, experienced an impressive three-day streak of inflows during its initial launch phase.

Bitcoin ETF

Nonetheless, BlackRock’s absence of inflows on Wednesday was not exclusive; eight other Bitcoin ETF issuers also reported zero inflows. 

Notably, Fidelity, a strong contender in the ETF race and the runner-up in inflows since trading began in January, and Cathy Wood’s Ark Invest were the only managers to record inflows during Wednesday’s session, with $5.6 million and $4.2 million, respectively.

On the other hand, Grayscale, one of the largest BTC holders in the world, continued to experience outflows, with a staggering $130 million outflow on Wednesday alone. 

According to Farside data, Grayscale’s ETF GBTC has witnessed outflows totaling $1.2 billion in April alone. These outflows have exerted downward pressure on Bitcoin’s price, which has declined by 4.2% in the past 24 hours, currently trading at $62,990.

Declining Demand And Negative Funding Rate

In different developments within the Bitcoin market, bullish traders have shown signs of reducing their positions in the world’s largest cryptocurrency as two significant factors that propelled its growth begin to diminish. 

According to Bloomberg, the Bitcoin funding rate, which represents the premium paid by traders to open new long positions in the perpetual futures market, turned negative on April 19 for the first time since October 2023.

This shifting funding rate indicates a moderation in demand for Bitcoin following the launch of several US spot Bitcoin ETFs on March 15, when the token reached record highs of $73,700. 

Bitcoin funding rates reached a three-year high in March, indicating an overheated market. However, as of Tuesday, they fell below zero, suggesting a decreased desire among traders to open long positions. 

Julio Moreno, the Head of Research at CryptoQuant, stated that this trend reduces traders’ willingness to enter new long positions.

Analyst Vetle Lunde from K33 Research noted that the 11-day streak of neutral-to-below-neutral funding rates is unusual. A flurry of leveraged bets has promptly followed past dips in funding rates. 

Lunde suggests that the extended duration of the current perpetual discount may indicate further price consolidation in the market.

Furthermore, open interest in the Chicago-based CME Group’s Bitcoin futures market has decreased by 18% from its record high. This decline reflects a wavering interest among US institutions in cryptocurrency-related exposure and hedging.

As the cryptocurrency market seeks fresh catalysts, attention is now turning to Hong Kong, where a new set of spot Bitcoin ETFs is set to debut. The market is eagerly observing whether these ETFs can generate even a fraction of the demand their US counterparts enjoy.

Bitcoin ETF

Featured image from Shutterstock, chart from TradingView.com

Read Entire Article
spot_img
- Advertisement -spot_img

Related Posts

Dogecoin News Indicates Wall Street Trading Incoming, Can Unilabs Memecoin Launchpad Find the Next 10x Token?

The post Dogecoin News Indicates Wall Street Trading Incoming, Can Unilabs Memecoin Launchpad Find the Next 10x Token appeared first on Coinpedia Fintech News Amid surfacing Dogecoin news hinting at

Bitcoin Profit-Taking Remains Healthy – Data Shows No Signs Of Overheating

Bitcoin is wrapping up the week with strength, trading above the $105,000 mark after a sharp rally that pushed prices to a new all-time high near $112,000 The move reignited bullish momentum across

Big Short’s Michael Burry Bets on Lipstick to Combat Recession

Michael Burry, known for predicting the subprime mortgage crisis in 2008, sold a major portion of his holdings during Q1 to focus on a single cosmetics stock: Estée Lauder Analysts believe Burry

Binance Coin Eyes $700, New Altcoin Poised To Outshine Ethereum In 2025 With AI-Powered Investments

The post Binance Coin Eyes $700, New Altcoin Poised To Outshine Ethereum In 2025 With AI-Powered Investments appeared first on Coinpedia Fintech News The Binance Coin price is on an uptrend, eyeing

Unusual Bitcoin MVRV Event Bodes Well For Long-Term Outlook – Here’s Why

Bitcoin traded above $111,000 to record a new all-time high (ATH) in the past week, as the crypto bull run revival continues Although the premier cryptocurrency has experienced some retracement since

The Corporate Bitcoin Boom: Bigger Than You Think, Exec Says

According to Moon Inc’s head of Bitcoin strategy, Jesse Myers, companies could end up owning half of all Bitcoin by 2045 That’s about 105 million coins He made the remark in an X thread on May 23