Spot Bitcoin ETF Flows Dry Up as Crypto Market Rout Continues

For the second consecutive trading day, nine of the eleven recently launched Bitcoin spot ETFs have had zero funds flow.

Only Grayscale and BlackRock had flows on April 12 and 15, as all other funds were inactive, according to preliminary data from Farside Investors.

He continuous output of Grayscale GBTC funds also means that the net aggregate has turned negative again over the last two trading days.

General cryptoasset investment products have has also been datinglosing $126 million over the past week, according to CoinShares.

ETF flows stagnate

BlackRock's industry-leading IBIT fund continues to keep crypto ETF markets afloat with inflows, however, these are shrinking. On April 15, IBIT recorded an inflow of $73.4 million, the fourth double-digit inflow this month.

However, this was not enough to negate the $110 million outflow from GBTC, which yesterday resulted in a net outflow of $36.7 million for all Bitcoin ETFs.

Grayscale's flagship fund has now lost 308,379 BTC worth around $19 billion at current prices. This is equivalent to about half of the total BTC the fund held before converting to a spot ETF in mid-January.

Fidelity's FBTC fund had another day of zero flow, ending its streak of inflows on Friday.

However, CryptoQuant CEO Ki Young Ju noted that despite ETF demand stagnating over the past month, “on-chain accumulation remains very active, even excluding ETF settlement transactions.”

The big news from the ETF this week was the BTC spot approval and ETH ETFs in Hong Kong, which “serve as a test bed for money from China to enter the system.” saying Boxmining founder Michael Gu.

“US Bitcoin Spot ETFs Hold More Assets Than Entire Hong Kong ETF Market” commented Eric Balchunas, ETF analyst.

Crypto correction continues

However, the news from the Far East was not enough to reverse the current market decline, which has seen the total capitalization shrink another 3.8% on the day.

The total cap is now at its lowest level since late February, falling to $2.5 trillion.

Bitcoin lost another 1.8% in a drop to $63,000 at the time of writing during the Asian trading session on Tuesday.

Ethereum was down 2% to $3,100 and many of the altcoins were hit harder. These include Solana (SOL) which crushed 8%, and Toncoin (TON) dumping 7% on the day.


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