Bitcoin price dipped to a low of $62,586 before recovering to $63,127, showing a notable recovery from a dip under $53,000 earlier in the month. As of Sept. 20, Bitcoin was up 7.5% over the past week and 3.21% over the past 30 days. Additionally, Bitcoin ETFs saw a significant inflow of $158.3 million on Sept. 19, led by ARKB and FBTC, while Grayscale’s flagship Bitcoin product has experienced a reduction in outflows.
The positive price movement of Bitcoin coincides with a notable increase in inflows into spot Bitcoin exchange-traded funds (ETFs). On Sept. 19, Bitcoin ETFs recorded a $158.3 million inflow, marking a sharp reversal from the previous day’s $52.7 million outflow. Leading the inflows were ARKB and FBTC, with Bitwise’s BITB ETF, Grayscale’s BTC Mini-Trust, and Franklin Templeton’s EZBC also receiving inflows. BlackRock’s IBIT, however, had its third consecutive day of zero flows.
Grayscale’s flagship Bitcoin product has seen a reduction in outflows, with minimal activity since outflows slowed to around $4.6 million on Sept. 13. Grayscale’s BTC Mini-Trust, with lower fees, appears to be mitigating further outflows from the product. Bloomberg Senior ETF Analyst Eric Balchunas highlighted the significance of the recent inflows, noting that Bitcoin ETFs have set a new high of $17.7 billion year-to-date.
Balchunas compared Bitcoin ETFs to gold ETFs, noting that Bitcoin ETFs already make up 5% of Bitcoin’s total market cap, compared to 1% for gold ETFs. He emphasized the impact of Bitcoin ETF inflows in just nine months, compared to the 22 years it took for gold ETFs to reach their current market cap. Balchunas pointed out that even using net flows, the $17.7 billion in Bitcoin ETF assets is equivalent to 1.5% of Bitcoin’s market cap.
