Spot Bitcoin ETFs See Significant Inflows as Ethereum ETFs Also Gain Momentum
Spot Bitcoin exchange-traded funds (ETFs) experienced a notable surge in demand, with $129 million in net inflows on November 25. This development was accompanied by a similar trend in Ether spot ETFs, which added $78 million in net inflows on the same day. According to data from SoSoValue, the Fidelity Wise Origin Bitcoin Fund (FBTC) led the day with $170.80 million in inflows, followed closely by BlackRock’s iShares Bitcoin Trust (IBIT) at $83.01 million.
The inflows into Bitcoin ETFs have now reached a cumulative total of $57.61 billion, with trading activity remaining steady at over $4.69 billion in daily volume. Other products, such as the Bitwise Bitcoin ETF (BITB) and the Ark 21Shares Bitcoin ETF (ARKB), saw notable outflows, reflecting mixed sentiment among smaller issuers. The strong demand for Bitcoin ETFs is a significant indicator of the growing interest in cryptocurrency investments among institutional and retail investors alike.
Ether ETFs Attract $78M in Inflows as Institutional Appetite Grows
Ether spot ETFs recorded $78.58 million in net inflows on November 25, marking the third consecutive day of positive momentum. The BlackRock iShares Ethereum Trust (ETHA) led with $46.09 million in inflows, followed by the Fidelity Ethereum Fund (FETH) at $47.54 million. This surge in demand reflects the growing institutional appetite for Ethereum investments, driven by the increasing adoption of the Ethereum blockchain and its ecosystem.
The Grayscale Ethereum Mini Trust (ETH) added $8.29 million, while the Grayscale Ethereum Trust (ETHE) saw a significant $23.33 million outflow, continuing its recent trend of redemptions. Meanwhile, Grayscale’s new spot Dogecoin ETF (GDOG) debuted with $1.4 million in trading volume, which, although lower than analyst expectations, still indicates a notable interest in Dogecoin investments. A second spot Dogecoin ETF from Bitwise (BWOW) is set to begin trading, further expanding investor access to DOGE exposure.
New Crypto ETF Launches and Their Implications
The launch of new crypto ETFs, including those for Dogecoin and XRP, follows a broader wave of crypto ETF launches after the SEC eased listing rules. Unlike earlier funds that cannot directly hold the underlying cryptocurrency, both Grayscale and Bitwise’s ETFs are filed under rules that allow them to directly hold the tokens. This development is expected to increase transparency and efficiency in cryptocurrency investments. ETF analysts Eric Balchunas and James Seyffart estimate that over 100 new crypto ETFs are expected in the next six months, further expanding the investment landscape for cryptocurrencies.
Bitcoin Breaks Its November Trend as Analysts See Whale Demand Returning
Bitcoin is set to end November in the red, breaking its long-standing pattern as the strongest month of the year. Historically, Bitcoin has averaged gains of more than 40% in November, but it now trades over 20% below its monthly open. This decline is attributed to overheated buying between $106,000 and $118,000, with many of those buyers now capitulating at a loss. Short-term holders are under pressure as Bitcoin trades below their average cost basis of $86,787, a situation that has happened only three times since early 2024.
Analysts from Bitfinex and XWIN Research Japan suggest that Bitcoin may remain stuck between $60,000 and $80,000 through the end of December if the Federal Reserve leaves interest rates unchanged at next month’s FOMC meeting. This prediction underscores the complex interplay between cryptocurrency markets and traditional financial systems. As the cryptocurrency market continues to evolve, understanding these dynamics will be crucial for investors and analysts alike.
For more information on the latest developments in cryptocurrency ETFs and market trends, visit https://cryptonews.com/news/spot-bitcoin-etfs-pull-in-129m-ethereum-etfs-add-78m-as-prices-hold-strong/.
