According to CryptoPotato, digital asset investment products experienced modest withdrawals of $21 million last week, but this figure doesn't reflect the significantly elevated trading activity. Bitcoin alone witnessed trading volumes of $11.8 billion, which is seven times higher than the typical weekly trading volume observed in 2023. The substantial trading volumes represented 63% of all Bitcoin volumes on reputable exchanges, indicating the dominance of Exchange-Traded Product (ETP) activity in the current overall trading landscape.
Altcoins faced challenges, with Ethereum and Solana witnessing outflows of $14 million and $8.5 million, respectively. In the United States, established issuers with higher costs suffered outflows totaling $2.9 billion since the launch of newly issued spot-based ETFs on January 11, 2024. However, the recently introduced ETFs attracted a total of $4.13 billion in inflows since their launch, surpassing the losses incurred by the higher-cost incumbent ETPs. CoinShares stated that investors viewed the recent price decline as an opportunity to increase their exposure to short-Bitcoin investment products, resulting in inflows of $13 million. Canada and Europe encountered a collective outflow of $297 million, indicating a movement of assets towards the United States, driven by its more competitive fee structures.
Equities related to blockchain experienced additional significant inflows, amounting to $156 million, extending the ongoing nine-week streak to a total of $767 million. In the first six days of trading, the recently approved spot Bitcoin ETFs, known as 'the Newborn Nine,' acquired over 95,297 BTC since they started trading on January 11, 2024. BlackRock's iShares Bitcoin Trust (IBIT) leads the pack with 33,706 BTC, followed by the Fidelity Wise Original Bitcoin Fund (FBTC) with holdings of 30,384 BTC. GBTC, which was recently converted into an ETF, leads among spot Bitcoin ETFs with a substantial holding of over 552,077 BTC.
