U.S.-based Spot Bitcoin ETFs saw a record influx of funds on July 6, following Bitcoin’s price drop below $54,000 on July 4. According to Farside Investors, the ETFs experienced their largest net inflows in a month, totaling $143.1 million.
The Fidelity Wise Origin Bitcoin Fund (FBTC) led the charge with $117 million, while the Bitwise Bitcoin ETF (BITB) saw $30.2 million in inflows. The ARK 21Shares Bitcoin ETF (ARKB) and VanEck Bitcoin Trust (HODL) followed with $11.3 million and $12.8 million, respectively. However, the Grayscale Bitcoin Trust (GBTC) reported a net outflow of $28.6 million. Despite market volatility, these substantial inflows indicate that institutional investors are seizing the opportunity to buy Bitcoin at lower prices.
Hunter Horsley, CEO of Bitwise Asset Management, emphasized his team’s efficiency in acquiring Bitcoin at a cost of less than half a basis point. He highlighted the strong outlook for Bitcoin, stating that current market conditions present a valuable buying opportunity. “The outlook for Bitcoin has never been stronger. For many who don’t yet have exposure, this week is a chance to buy the dip,” Horsley said. BITB saw inflows exceeding $66 million in the first week of July, boosting its total Bitcoin holdings to over 38,000 BTC.
Bitcoin critic Peter Schiff noted the resilience of Bitcoin ETF investors despite market fluctuations. He observed that investors remain committed to holding their assets and showing no signs of panic. “So far, there’s no sign of panic. It will likely take a much larger drop in Bitcoin before they finally capitulate,” Schiff commented. Bitcoin’s drop to $55,200 on Coinbase occurred after the collapsed Japanese crypto exchange Mt. Gox transferred 47,229 Bitcoin, worth around $2.71 billion, to a new wallet address in its first major transaction since May.
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