16 Apr

The only spot Bitcoin fund in the US to have inflows on the first day of the week is BlackRock's Bitcoin exchange-traded fund (ETF); other ETFs have reported either withdrawals or zero inflows.

Data from Farside Investors indicates that on April 15, net inflows into the iShares Bitcoin Trust (IBIT) totaled $73.4 million, a reduction from the $111.1 million recorded the day before.

On the other hand, Grayscale's ETF and the other eight didn't disclose any inflows over this time frame.

GBTC Records $110M in Withdrawals

Although there were inflows into IBIT, they were not sufficient to offset the withdrawals from the Grayscale Bitcoin Trust (GBTC), which had $110.1 million in withdrawals on April 15, a decrease from the $166.2 million in withdrawals on April 14.

All ten spot Bitcoin ETFs saw net outflows between April 12 and April 15, totaling $55.1 million and $36.7 million, respectively.

These current departures from the United States. The price of Bitcoin has dropped 11.6% this week, trading at roughly $63,410, and Bitcoin ETFs are timed to correspond with this turbulent period.

Additionally, according to James Butterfill, head of research at CoinShares, outflows of $110 million were recorded from worldwide Bitcoin investment products in the week ending April 12, suggesting investor reluctance.

Despite an increase in weekly volumes from $17 billion to $21 billion, Butterfill reported that there were net withdrawals of $126 million from all combined cryptocurrency investment products last week.

Iran's revenge attack on Israel on April 13 caused market volatility, which in turn caused Bitcoin to drop to a three-week low of $61,918.

Additionally, traders are keeping a careful eye on the cryptocurrency's possible impact on price movement as the halving event—which will see its issuance half on April 20—approaches.

Bitcoin Rises When Spot ETFs Are Approved in Hong Kong

After many Hong Kong issuers declared that they had been granted license for spot cryptocurrency exchange-traded funds (ETFs), Bitcoin saw a 2.8% increase in value in a single day on Monday, closing at a value above $66,500.

Bosera Capital, China Asset Management, and other applicants announced their clearance to list spot Bitcoin and Ether ETFs in Hong Kong via the social media site WeChat, or Weixin.

The revelation is noteworthy because, according to analysts, mainland Chinese investors may invest $25 billion in possible Hong Kong-listed spot Bitcoin ETFs via the Southbound Stock Connect initiative.

Qualified mainland Chinese investors can access qualifying shares listed in Hong Kong through the Southbound Stock Connect.

In the meantime, a significant withdrawal of Bitcoin from miners may occur in the months that follow the impending halving event.

After the halving, it is predicted that Bitcoin miners might liquidate almost $5 billion worth of BTC.

Additionally, Thielen pointed out that the pressure from miners to sell might last for four to six months, which could cause the price of Bitcoin to swing sideways during that time, much like it did in previous halving cycles.

April 2024, Cryptoniteuae

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