BlackRock and Fidelity’s Bitcoin exchange-traded funds (ETFs) have emerged as leaders in January flows, amassing a total of around $4.8 billion. According to a Feb. 3 report from Morningstar research analyst Lan Anh Tran, data approximated from the issuer’s websites reveals that BlackRock’s iShares Bitcoin Trust (IBIT) secured eighth place with an estimated $2.6 billion in net flows, while Fidelity Wise Origin Bitcoin ETF (FBTC) claimed the 10th spot with $2.2 billion in net flows.
Grayscale Bitcoin Trust Records Outflows
The United States boasts a diverse landscape of over 3,100 ETFs as of Dec. 31, 2023, according to YCharts data, highlighting the expanding influence of these investment vehicles.
Contrastingly, the data indicated that the Grayscale Bitcoin Trust (GBTC) experienced the second-highest outflows among ETFs in January, with an estimated $5.7 billion exiting the fund during the month.
BlackRock and Fidelity in a Clear Lead
Nate Geraci also expressed that BlackRock and Fidelity’s funds are engaged in a “clear two-horse race” among the nine new Bitcoin funds. Additionally, he highlighted the joint ETF from ARK Invest and 21 Shares, along with Bitwise’s funds, foreseeing them developing into a “strong middle class” and predicting they would surpass $1 billion in assets in the “not too distant future.”
This report aligns with recent trends, as U.S. spot Bitcoin ETFs recorded six consecutive days of net positive inflows, totaling nearly $715 million. BitMEX Research data posted on X on Feb. 3 attributed most of these inflows to BlackRock and Fidelity’s funds.
Following a four-day period of outflows between Jan. 22 and 25, which saw a peak in GBTC outflows, the six-day run of inflows from Jan. 26 to Feb. 2 marked a resurgence for the nine new spot Bitcoin funds. Bloomberg senior ETF analyst Eric Balchunas noted in a Feb. 3 X post that the “comeback from that dip last week” was truly remarkable, emphasizing the resilience and lasting appeal of these ETFs.
