‘The Nine’ spot Bitcoin ETFs see $2B volume for 2nd straight day

BlackRock’s ETF also notched a new record $1.3 billion in daily volume in what an analyst described as “another intense volume day” for the funds.

Nine of the recently launched spot Bitcoin exchange-traded funds (ETFs) have recorded a second straight trading day of combined volumes of over $2 billion as demand and interest remain heated.

In a Feb. 27 X post, Bloomberg ETF analyst Eric Balchunas described it as “another intense volume day for the Nine” — the ETFs bar Grayscales converted Bitcoin trust. He noted BlackRock’s ETF notched a new record $1.3 billion in daily volume, more than most large-cap United States stocks.

“I don’t know if this is a new normal or some kind of short-term [algorithm or arbitrage]-related burst,” he wrote.

BlackRock’s iShares Bitcoin ETF (IBIT) saw over 100,000 individual trades on Feb. 27, up from the around 30,000 to 60,000 average daily trades, Balchunas observed.

Also interesting $IBIT saw over 100,000 individual trades today. It was doing 30-60k the whole time up until Tuesday. It's like it found a new gear over Pres Day wknd. I thought maybe it was just pent up volume due to long wknd but it did even more today so there goes that theory pic.twitter.com/YTWp4BosIo

— Eric Balchunas (@EricBalchunas) February 27, 2024

The Fidelity Wise Origin Bitcoin Fund (FBTC) had $578 million in daily volume, while the ARK 21Shares Bitcoin ETF (ARKB) was the third-highest ETF in terms of trade volume at $204 million.

It is the second day in a row that the nine new ETFs have topped $2 billion in daily volume since their launch on Jan. 11.

Trading volumes for the nine funds topped $2.4 billion on Feb. 26, beating the prior record of $2.2 billion set on their first trading day.

The figures on both days excluded volume from the Grayscale Bitcoin Trust (GBTC), which saw an outflow of $22.4 million on Feb. 26 and $125.6 million on Feb. 27, according to preliminary data from Farside Investors.

Related: Gold ETFs bleed $2.4B so far in 2024 as Bitcoin ETFs hit record volumes

On Feb. 28, ETF Store President Nate Geraci posted a chart showing the diminishing share of Grayscale’s ETF volume compared to that of the others.

Nice look at GBTC vs non-GBTC spot bitcoin ETF cumulative flows…

Also shows GBTC’s eroding share of $$$ trading volume.

via @Todd_Sohn pic.twitter.com/cCKiTEMvQ2

— Nate Geraci (@NateGeraci) February 27, 2024

Farside’s preliminary flow data shows the ETF’s combined net inflow at $574 million for Feb. 27, greater than the $520 million the day prior despite a larger outflow from Grayscale.

BlackRock’s IBIT saw $520 million in net inflows, while Fidelity’s FBTC had $126 million. Bitwise’s fund was third, with $18.3 million of inflows.