Grayscale’s GBTC Records Its First Inflow of $63 MIllion

Grayscale finally records a green day for its spot Bitcoin ETF, having an inflow of about $63 million.

After a challenging period of 80 days with billion-dollar outflows, Grayscale’s Bitcoin Trust (GBTC) has shown resilience. It has stopped the bleeding and ended the day on a positive note. According to Farside, GBTC ended yesterday’s market day with an inflow of about $63 million, a remarkable 80% higher than BlackRocks iShares Bitcoin Trust (IBIT), which recorded an inflow of only $12.7 million.

Money Flows Into GBTC

Since the U.S. Securities and Exchange Commission (SEC) approved the spot bitcoin ETF in January, Grayscale has witnessed 80 market days of straight outflows, moving from 600,000 bitcoins to 297,000 bitcoins. Grayscale has sold more than half its bitcoin holdings worth about $17.5 billion. 

Amidst the outflow, the company has sought solutions, including launching a new bitcoin ETF known as Grayscale Mini Bitcoin Trust with the ticker BTC. This ETF will operate with lower maintenance charges than GBTC. Grayscale CEO has also promised to reduce the fees for GBTC as the bitcoin ETF market grows. 

Despite all its losses, GBTC remains the most prominent spot Bitcoin ETF by assets, holding over $18.7 billion worth of assets under management (AUM). Its closest competitor is BlackRock’s IBIT, which manages assets worth about $17.2 billion.

With its first inflow on Friday, Grayscale is seeing the beginning of better market days for its bitcoin ETF as it begins to rise alongside competitors.

Bitcoin ETF Market Summary For Friday

Closing the market on Friday, Grayscale’s GBTC and Franklin’s Bitcoin ETF, EZBC, recorded their best market days with inflows of $63.0 million and $60.9 million, respectively. Fidelity’s Bitcoin Fund (FBTC) led the market with an inflow of about $102.6 million. 

BlackRock’s IBIT had its first inflow of $12.7 million for the first time in the last seven market days. The Bitcoin ETF market had a total inflow of $378.3 million, its highest since the past 28 market days. 

BlackRock’s Bitcoin ETF had its first outflow day of $36.9 million on Wednesday, leading the ETF market to reach an all-time peak outflow of $563.7 million. 

Amidst the bullish Bitcoin ETF day, the price of bitcoin has also risen. Yesterday, it crossed the $63,500 mark. At press time, bitcoin trades above $63,000.