The U.S. spot Bitcoin exchange-traded funds (ETFs) showed different trends this week, first beginning the week with record inflow before witnessing massive outflow later.
According to the data compiled by Bitcoin Magazine, U.S. spot Bitcoin ETFs together bought 4,349.7 BTC worth $423.6 million as Bitcoin’s price was going down. In the same period, Bitcoin mining produced 2,250 BTC, meaning there is very strong demand for Bitcoin.
Bitcoin’s price rose early in the week to a peak of above $108,000 on December 17 as investors were feeling good and awaiting a rate cut from the Federal Reserves. Bitcoin reached its all-time high of $108,000 by mid-week before it started to slide drastically. On December 19, Bitcoin went to $93,145.17, falling 9.2% in just 24 hours. That triggered a market sell-off and led to $1 billion in liquidations in the cryptocurrency market.
Spot Bitcoin ETFs had their biggest loss on December 19, losing $671.9 million in total assets, according to Farside Investors. Grayscale’s GBTC had the most losses with $208.6 million leaving, followed by ARK Invest’s ARKB, which lost $108.4 million.
BlackRock’s iShares Bitcoin Trust (IBIT) remained flat, with neither any inflows or outflows during the period. Sosovalue data indicated that the total net assets of Bitcoin ETFs went to $109.7 billion on Dec. 20, down from $121.7 billion three days prior.
Despite the sell-off, Bitcoin rebounded on Dec. 20, briefly crossing $99,000 before stabilizing at $98,500.
Ethereum spot ETFs also saw net outflows of $75.12 million on Dec 20, according to Wublockchain on X. The Ethereum price rebounded mid-week, rising above $3,500 after falling to around $3,300 previously. The wider crypto market has also begun to show signs of recovery, with altcoins BNB, SOL, and ADA up between 5% and 6% in a day.
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