Spot Bitcoin ETFs Record Zero Inflows as Bitcoin Price Declines

Spot Bitcoin ETFs Record Zero Inflows as Bitcoin Price Declines

Spot Bitcoin (BTC) exchange-traded funds (ETFs) in the U.S. have experienced zero net inflows for the fourth time since their introduction in January.

According to data from Farside Investors, on May 27, spot BTC ETFs saw no net inflows amid a broader market correction in the cryptocurrency sector. This marks the first instance in the past two weeks that Bitcoin ETFs recorded no inflows.

Between May 13 and May 24, BTC ETFs registered over $2 billion in net inflows, with total net inflows reaching $1.3 billion in the first half of the month, compensating for April’s outflows.

Bloomberg Senior ETF Analyst Eric Balchunas commented on May 17 that investors should not be concerned about short-term outflows in the ETF market, suggesting that BTC ETFs are expected to yield β€œnet positive long-term” returns.

Additionally, MicroStrategy founder Michael Saylor noted on May 27 that spot BTC ETFs are now holding over 1 million BTC across 32 investment products, which represents approximately 5% of the asset’s circulating supply.

As of May 24, BlackRock holds the largest amount of BTC in its ETF with 287,168 BTC. This figure does not include GBTC shares.

Following the zero net inflows reported for spot ETFs, Bitcoin experienced a 1.24% drop in value. At the time of writing, Bitcoin is trading at $67,900. Notably, BTC briefly reached an intraday high of approximately $70,590 at around 17:25 UTC on May 27.

This period of no inflows highlights the ongoing volatility and investor sentiment shifts within the cryptocurrency market.

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