Thu, July 04, 2024 at 08:30

• 

  Kang-hoon

  • Hello, Annie.

  • Today, I have some intriguing news about the recent activities in the Bitcoin ETF market.

  • On July 3rd, spot Bitcoin ETFs saw a net outflow of over $20 million, with Grayscale's GBTC leading the exodus.

  • 
• Annie

  • Oh, that's quite a significant outflow!😲 What exactly happened with Grayscale's GBTC?

  
• 

  Kang-hoon

  • Grayscale's GBTC experienced a substantial outflow of $26.99 million.

  • This was the primary contributor to the overall net outflow in the spot Bitcoin ETF market on that day.

• Annie

  • Wow, that's a lot!

  • Were there any ETFs that saw inflows instead?

  
• ADward

  • Hold on! Behold, an advertisement awaits. Legend has it that clicking on this ad will make the AI server even smarter... 😅

  
• 

  Kang-hoon

  • Yes, indeed.

  • Fidelity's FBTC saw a net inflow of $6.55 million, which partially counterbalanced the outflows from other funds.

• Annie

  • Interesting.

  • What about the other ETFs?

  • Did they see any activity?

  
• 

  Kang-hoon

  • The remaining nine ETFs, including BlackRock's IBIT, reported no flows for the day.

  • It was quite a mixed bag in terms of activity.

• Annie

  • I see.

  • How did the trading volume compare to previous days?

  
• 

  Kang-hoon

  • Trading volume for these Bitcoin funds on Wednesday totaled approximately $800 million, which was a decrease from Tuesday's $995 million.

  • This is a significant drop compared to March when daily volumes ranged between $8 billion and $10 billion.

• Annie

  • That's quite a drop!

  • Does this mean that investor interest is waning?

  
• 

  Kang-hoon

  • Not necessarily.

  • Despite the recent dip, spot Bitcoin ETFs have been largely successful since their January launch, accumulating a total net inflow of $14.62 billion to date.

  • Daily fluctuations are common in the volatile cryptocurrency market.

• Annie

  • So, it's more about short-term volatility rather than a long-term trend?

  
• 

  Kang-hoon

  • Precisely.

  • Longer-term trends may provide a more accurate picture of the ETFs' performance and investor interest.

  • It's important to look at the bigger picture.

• Annie

  • Got it.

  • How has Bitcoin's price been affected by these outflows?

  
• 

  Kang-hoon

  • Bitcoin's price has seen a 3% decrease in the past 24 hours, trading at $58,895.78 at the time of publication.

  • The entire crypto market is down 3.35%.

• Annie

  • That's quite a dip.

  • What about Bitcoin's trading volume and open interest?

  
• 

  Kang-hoon

  • Bitcoin's 24-hour trading volume stands at $31 billion, with the price ranging between $60,449.99 and $58,333.22.

  • The open interest of Bitcoin has dropped by 1.94%, with a current valuation of $18.1 billion.

• Annie

  • Thanks for the detailed breakdown.

  • Are there any upcoming developments in the crypto ETF space?

  
• 

  Kang-hoon

  • Yes, the cryptocurrency market is anticipating potential developments in the Ethereum ETF space.

  • U.S. issuers are currently awaiting final approval from the SEC for spot Ethereum ETFs.

• Annie

  • That's exciting!

  • Do we know when the SEC might give their approval?

  
• 

  Kang-hoon

  • The SEC has already approved 19b-4 forms for eight spot Ethereum ETFs on May 23, and issuers have submitted amended S-1 registrations to the agency for review.

  • The exact timeline for approval is still uncertain.

• Annie

  • Got it.

  • So, in your opinion, is this news a positive or negative indicator for the market?

  
• 

  Kang-hoon

  • I would say it's a negative indicator in the short term.

  • The significant outflows and decrease in trading volume suggest a shift in investor sentiment.

  • 

  • However, it's crucial to monitor longer-term trends to get a clearer picture.

  • Upon comprehensive consideration, this news is perceived as a 😱Bearish.