In March, spot bitcoin ETF trading volume jumped to $111 billion, tripling from the previous month.

Spot bitcoin ETFs are definitely on the rise. In March, the monthly trading volume of spot bitcoin ETFs jumped to $111 billion according to The Block. This is three times more than in February when this figure stood at $42.2 billion. “I can’t imagine April being bigger, but who knows,” said Eric Balchunas, an ETF analyst at Bloomberg.

Two funds were also stormed by investors: those of Blackrock and Fidelity respectively reached 18 and 10 billion dollars of assets under management in March. For its part, Grayscale’s GBTC fund continues to face significant capital outflows.

On January 10, the American stock market watchdog (the SEC) has authorized 11 spot bitcoin ETFs, offered in particular by asset managers like Blackrock and Fidelity. An ETF (or Exchange Traded Funds) is an index fund trading on a stock exchange which follows the evolution of a stock index (or one or more financial or physical assets, such as gold) by replicating the increase as well as the drop in the price of this index (or these assets).

$189 billion

The arrival of these new financial products has had an impact on the price of the queen of cryptocurrencies. Since the start of the year, the price of bitcoin has jumped 60%, including 50% over the last three months. In its rise, bitcoin pulled the entire crypto market into the green, notably ether, the second cryptocurrency in terms of capitalization. After spot bitcoin ETFs were allowed on the market, investors are hoping that the SEC will approve spot ether ETFs later this year.

As of this writing, cumulative trading volumes across the 11 spot bitcoin ETFs have reached $189 billion since their launch.


Leave a Reply

Your email address will not be published. Required fields are marked *