On Friday, April 26, outflows persisted, totaling $83.6 million, with Grayscale’s GBTC seeing a slowed outflow compared to previous days. Notably, Ark 21Shares’ ARKB was the only ETF to generate inflows. The ARKB Bitcoin ETF saw a modest inflow of $5.4 million. In total, the week was marked by a gigantic cash outflow of $328 million.
What’s next for Spot BTC ETFs?
During a huge sell-off in the crypto market, speculation regarding the future of Bitcoin ETFs has emerged. This follows a recent report indicating a further decline in the investment vehicle. The recent announcement of Depository Trust Company (DTCC) regarding the valuation of collateral for ETFs containing BTC or other cryptocurrencies, causing unease among investors.
The Spot Bitcoin ETF landscape in the United States has been tumultuous of late, with significant outflows seen this week. This trend has sparked concerns among investors that major Wall Street players are waning in interest in the leading cryptocurrency. Additionally, this development appears to have contributed to the recent sell-off in the crypto market.
Additionally, a recent report from 10X Research has cast doubt on the BTC ETF scene, citing the DTCC’s decision to impose a 100% haircut on ETFs exposed to cryptocurrencies starting April 30. There is speculation about a potential reversal in Bitcoin ETF inflows. . Meanwhile, the crypto market is grappling with increased volatility and large outflows from US Spot Bitcoin ETFs.
Importantly, the DTCC’s decision to withhold the collateral value of ETFs with cryptocurrencies as underlying assets has reverberated throughout the digital asset market. As Bitcoin shows signs of forming lower highs, 10X Research has predicted a further downtrend for Bitcoin ETFs.
