- Spotlight Late April brought challenges for the Bitcoin ETF, but since May 1st, there have been ten days in a row of positive flows.
- Though news of Ethereum ETFs drove the price volatility of Bitcoin, it is now getting close to $69,000.
Point After struggling at the end of April and especially on May 1, Bitcoin ETFs have had a big comeback. These financial instruments have been seeing positive inflows for ten days running.
This shift occurs in the middle of a wild ride for the price of bitcoin, driven by reports of the Ethereum ETF. As things stand, Bitcoin is approaching $69,000.
Spot Bitcoin ETF Rebound After Difficult April
An important turning point was reached in January when the US Securities and Exchange Commission (SEC) authorized almost a dozen spot Bitcoin ETFs. The approval followed ten years of every application being denied or postponed.
The instant impact was enormous; in the first months, these products started drawing billions of dollars. But April was a turning point, with outflows on multiple days.
May 1, with its withdrawal of more than $560 million, was the most agonizing day. But in the next few weeks, things started to change once more, particularly in light of encouraging April US Consumer Price Index (CPI) statistics. The biggest ETFs ended their last day with negative statistics on May 10.
Ever since, ETFs have had an amazing run that has matched the March record for ten days straight of inflows. Especially, inflows on May 15 and 21 were more than $300 million, and on May 24, they were more than $250 million.
Leading in inflows is BlackRock’s IBIT, which has drawn in more than $16.35 billion. Though Grayscale is still in the lead with $20 billion, outflows indicate that BlackRock may soon catch up, according to SosoValue.
Over all, the inflows into all ETFs are getting close to $13.7 billion. This week, supporters of Ethereum also got excellent news when the US SEC approved eight spot ETH ETFs. The ETFs’ release dates are yet unknown, though.
The Ethereum revelation has caused BTC to react with substantial volatility; it rose from $67,000 to $72,000 before falling back below $66,000.
CoinMarketCap data show the price of BTC is currently about $68,898.52, up 2.66% in the last 24 hours and 2.74% over the previous seven days. Probably the remarkable inflows into the ETFs are what are causing this recent upward trend.
On the other hand, ETHNews has already reported spot Bitcoin ETFs brought in $306 million just in one day, demonstrating strong investor interest and the market’s room to expand.