Grayscale Bitcoin ETF(GBTC) continued its outflows with an outflow worth $30 million in the last 24 hours. Last week, outflows increased due to the market correction, but overall ETF outflows were at a more moderate level with daily gains recorded today. While BTC price recovered today, the overall market recorded an inflow of 0.9 percent.
Grayscale BTC ETF Posts Historic Highs
Grayscale has 490 companies worth approximately $30 million Bitcoin by selling, bringing the total outflow of spot ETFs since their launch in the United States to 340,000 BTC. This continues the fund’s trend of posting higher outflows than newly launched spot ETFs. Last week, Grayscale lost $150 million and $450 million in the last 30 days.
This year, the fund sold more than 18,000 Bitcoins but still maintains its top spot by holding 29,331 BTC on its balance sheet. BlackRock and other issuers have seen volumes improve as activity picks up. The main reason why investors are selling Grayscale and turning to other issuers is the price difference. New ETFs like BlackRock charge lower fees than Grayscale. Besides, the hype and advertisements around these products may also be a minor factor.
Grayscale played a major role in the issuance of spot Bitcoin ETFs, contributing to a market decision that ultimately led to the approval of these products by the US Securities and Exchange Commission (SEC). During the approval process, the SEC highlighted potential risks associated with trading manipulations.
Bitcoin and Crypto Activity See Gains
Large outflows were recorded from decentralized finance (DeFi) protocols and institutional products due to falling digital asset prices. Bitcoin price fell below $61,000, leading to a similar decline in the prices of other digital assets. Total market capitalization fell from just over $2.6 trillion to $2.2 trillion.
However, in the last 24 hours, there has been a general recovery in crypto prices. Bitcoin, Ethereum and other altcoins recorded slight gains, increasing 0.91 percent in market capitalization.
