- On May 8, 2024, the Bitcoin spot Exchange Trust Fund (ETF) recorded a net inflow of $11.5409 million.
- Bitwise BITB was responsible for the single-day net inflow.
- Despite the inflow, Bitcoin’s price dropped, reflecting a fading momentum in Bitcoin’s strength.
Bitcoin spot ETFs see a significant net inflow, but Bitcoin’s price drops, indicating a possible decoupling of ETF inflows and Bitcoin’s price movement.
Bitcoin Spot ETFs Record $11.5409 Million Net Inflow
On May 8, 2024, the Bitcoin spot Exchange Trust Fund (ETF) recorded a net inflow of $11.5409 million. Bitwise BITB was responsible for this single-day net inflow, according to data from Soso Value. Despite this inflow, the Grayscale GBTC had no inflows or outflows on the same day.
Bitcoin Spot ETFs’ Total Net Asset Value Rises
With the net inflow on May 8, the total net asset value of Bitcoin spot ETFs rose to $51.504 billion. Grayscale maintained the top position in total net assets, despite recording a cumulative outflow of $17 billion. BlackRock’s IBIT and Fidelity followed closely, with net assets of $17.08 billion and $9.52 billion respectively.
Bitcoin’s Price Drops Despite ETF Inflow
In a rare occurrence, the increase in the net inflow of Bitcoin spot ETFs did not correlate with Bitcoin’s price movement. On the day of the inflow, Bitcoin’s price fell from a daily high of $62,996 to a low of $61,124, reflecting a 3.46% drop. This drop marked the third consecutive day that Bitcoin closed below its opening price, indicating a fading momentum in Bitcoin’s strength.
Bitcoin Attempts Recovery
Despite the recent price drop, Bitcoin attempted a recovery in the early hours of Thursday, gaining 0.61% to trade at $61,598. This recovery, although minor, could signal a potential turnaround for the flagship cryptocurrency.
Conclusion
The recent net inflow into Bitcoin spot ETFs and the subsequent drop in Bitcoin’s price could indicate a possible decoupling of ETF inflows and Bitcoin’s price movement. This development could have significant implications for Bitcoin investors and the broader crypto market. As the market continues to evolve, investors should keep a close eye on these trends.
