Bitcoin

BlackRock Spot Bitcoin ETF Dominates ETF Market Within Just 1 Month Of Launch

Key Points:

BlackRock and Fidelity’s Bitcoin ETFs dominate the top 25 assets within a month.
BlackRock spot Bitcoin ETF exceeds Grayscale’s GBTC in daily trading volume.
Bloomberg data shows the rapid ascent of spot Bitcoin ETFs, with BlackRock ranking fifth.

In a significant development in the cryptocurrency market, Bitcoin Exchange Traded Funds (ETFs) have swiftly risen to prominence, with BlackRock and Fidelity‘s offerings dominating the top 25 ETFs by assets just one month after launch.

Bitcoin ETFs Surge: BlackRock and Fidelity Lead Top 25 Assets

Bloomberg senior ETF analyst Eric Balchunas revealed this data, highlighting the rapid ascension of these ETFs amidst a landscape of 5,535 total launches over 30 years.

The competition between industry giants like Grayscale’s GBTC and BlackRock spot Bitcoin ETF intensified after the United States Securities and Exchange Commission (SEC) approved their respective spot Bitcoin ETF applications, alongside those of Fidelity Investments, Bitwise, Invesco Galaxy, and others.

BlackRock Spot Bitcoin ETF Overtakes Grayscale’s GBTC in Daily Trading

A notable milestone occurred as the BlackRock spot Bitcoin ETF became the first ETF to outpace Grayscale’s GBTC in single-day trading volume. However, despite this achievement, total trading for the day remained subdued at $924 million, marking the first instance of trading falling below $1 billion since the launch.

Balchunas remarked on the unprecedented speed at which the BlackRock spot Bitcoin ETF gained traction, surpassing both GBTC and BITO in trading volume within just one month. Bloomberg Intelligence data further underscored IBIT’s dominance, with its trading volume exceeding that of Grayscale’s.

Additional spot Bitcoin ETFs making waves include ARK 21Shares’s ARKB and Bitwise’s BITB, securing 20th and 22nd positions, respectively, among the top 25 ETFs. Notably, ProShares Bitcoin Strategy ETF, initially launched as a futures product, claimed the seventh spot.

Balchunas emphasized the exclusion of converted ETFs and mutual funds from Bloomberg Intelligence data, providing a clearer picture of ETF performance. In this context, BlackRock’s Bitcoin ETF ranked fifth, with Fidelity’s FBTC close behind in eighth position, according to Bloomberg figures as of February 5th.

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Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.