US-based Bitcoin exchange-traded funds (ETFs) have seen a significant increase in net inflows, marking the highest daily inflow since January 30. On April 21, a total of $381.3 million entered the funds, with ARK 21Shares Bitcoin ETF (ARKB) leading the way with $116.1 million in inflows, followed by Fidelity Wise Origin Bitcoin Fund (FBTC) with $87.6 million. This positive trend comes as the price of Bitcoin has surpassed the $88,000 level.
Grayscale, which previously experienced outflows, showed signs of stabilization with its Bitcoin Trust (GBTC) and Bitcoin Mini Trust ETF (BTC) recording combined inflows of $69.1 million. BlackRock’s iShares Bitcoin Trust ETF (IBIT), the largest in terms of assets under management, also saw a decent inflow of $41.6 million.
While US Bitcoin ETFs performed well on April 21, overall digital asset investment data for the week showed geographic variations in investor behavior. The United States experienced net outflows of $71 million for the week, indicating cautious investor sentiment. In contrast, European markets showed more positive sentiment, with Switzerland leading with inflows of $43.7 million, followed by Germany with $22.3 million, and Canada with $9.4 million in net inflows.
The CoinShares report highlighted fluctuations in broader market sentiment throughout the week, with strong US retail sales figures causing significant outflows mid-week. Despite the positive performance of Bitcoin ETFs, Bitcoin products ended the week with minor outflows of $6 million, while short Bitcoin investment products saw their seventh consecutive week of outflows at $1.2 million. Investors have withdrawn approximately 40% of their total assets under management from these products over this period.
Overall, the strong inflow into US-based Bitcoin ETFs on April 21 reflects renewed investor interest in digital asset investments, particularly in the wake of Bitcoin’s price resurgence. While the US continues to show caution, European markets are displaying a more positive sentiment towards digital asset investments. With the expectation of the first XRP ETF going live, the digital asset investment landscape is evolving, and investors are closely monitoring the market trends for potential opportunities.
