Bitcoin price rises as spot ETF's start first day of trading
Spot bitcoin ETFs are live in a first day of trading in the U.S.
Yahoo Finance showed both BlackRock's IBIT and Grayscale's GBTC as trending tickers.
"While focus as been on bitcoin, a big takeaway is that ETFs continue to show they can handle just about anything," Bloomberg Intelligence analyst Eric Balchunas said on X, posting a chart that showed the trading profile of the spot bitcoin ETFs in Europe, "where spreads and prem/disc have tightened. Expecting same in U.S. over time."
"What happened to selling the news?" he said in a follow up post.
Volumes to come
All eyes will be on volumes, with Valkyrie co-founder and CIO Steven McClurg saying he expects $200 million to $400 million of investors’ funds coming to Valkyrie’s ETF, and all participants might see $4 billion to $5 billion of inflows over the first couple of weeks.
VanEck estimated that $1 billion of funds would flow into these products over the first few days, and $2.4 billion within a quarter. Galaxy anticipates inflows of $14 billion within the first year. Bitwise said it reckons the market for spot bitcoin ETFs will reach roughly $72 billion within five years.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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