Bitcoin ETFs log $479m inflows despite BTC flash crash below $95k

As a seasoned analyst with years of experience observing and deciphering market trends, I find myself intrigued by this recent surge in Bitcoin and Ether exchange-traded funds (ETFs). The continued inflows into these digital assets, even during periods of volatility, suggest a growing confidence among investors.

On December 9th, U.S.-based Bitcoin exchange-traded funds attracted approximately $479 million despite Bitcoin’s temporary dip below $95,000, causing a ripple of decline across the larger cryptocurrency market.

Based on information from SoSoValue, there has been a consistent daily increase in investments into 12 Bitcoin Spot ETFs for eight days straight. These positive movements have accumulated total inflows of approximately $3.6 billion during this timeframe.

For the seventh day in a row, BlackRock’s IBIT was the top performer, receiving $394.07 million in investments on December 9th. Fidelity’s FBTC also showed strong results, gaining $175.47 million. Grayscale Bitcoin Mini Trust added more modest inflows of $7.25 million to its total.

On that day, some Bitcoin ETFs, such as Bitwise’s BITB, ARK 21Shares’ ARKB, and Grayscale’s GBTC experienced outflows totaling approximately $107.74 million. Conversely, other Bitcoin ETFs had no inflows or outflows that day.

As a crypto investor, I’ve noticed an impressive spike in the total trading volume of these Bitcoin ETFs, reaching a whopping $4.35 billion. This figure surpasses the volume we saw back on December 8th, demonstrating a significant increase in market activity.

Even though ETF investments were pouring in, Bitcoin’s price saw a substantial fluctuation, dipping down to nearly $95,000 from its peak of $100,200 for the day. This sudden drop sparked a chain reaction across the crypto market, causing it to fall by 6.8% over the last 24 hours. This decline resulted in liquidations exceeding a staggering $1.7 billion and affecting over half a million traders.

AT press time the flagship crypto asset was still down 1.4%, exchanging hands at $97,231.

Ether ETFs extend inflow streak

On December 9th, the inflow into Ether Exchange Traded Funds (ETFs) remained favorable, totaling approximately $149.79 million, marking the 11th consecutive day of such positive trends.

In the latest inflow data, BlackRock’s ETHA took the lead with an investment of approximately $155.37 million, closely trailed by Fidelity’s FETH with around $30.11 million. Moreover, Grayscale Ethereum Mini Trust added about $8.83 million to the inflows.

The three ETFs from Grayscale (ETHE), Bitwise (ETHW), and 21Shares (CETH) experienced net outflows totaling approximately $44.53 million collectively, with Grayscale experiencing the largest outflow at $27.39 million, followed by Bitwise at $12.99 million, and 21Shares at $4.15 million. The remaining ETH ETFs showed no significant changes in their holdings.

Ethereum (ETH) mirrored Bitcoin’s decline, falling 4.1% over the past 24 hours to trade at $3,728.

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2024-12-10 11:10