Bitcoin ETF Trading Volume Surges 50% Amid BTC Drop Below $100k

On Dec. 5, U.S. spot Bitcoin exchange-traded funds (ETFs) experienced a significant surge in trading volume, reaching $7.1 billion, a 50% increase from the previous day. This spike occurred as Bitcoin’s price dropped below the $100,000 threshold.

According to data from SoSoValue, the 12 spot Bitcoin ETFs saw net inflows of $766.66 million on Dec. 5, extending their six-day streak to a total of over $2.7 billion. BlackRock’s IBIT ETF led the way for the fifth consecutive day, with $770.51 million in inflows. Other notable contributors included Grayscale’s Bitcoin Mini Trust, which added $95.35 million, and Fidelity’s FBTC with $47.47 million. ARK and 21Shares’ ARKB contributed a more modest $12.32 million.

However, some Bitcoin ETFs experienced outflows. Grayscale’s GBTC and Bitwise’s BITB recorded outflows of $148.78 million and $10.22 million, respectively. The remaining Bitcoin ETFs experienced zero flows on the day.

Despite these mixed inflows and outflows, the total trading volume for the Bitcoin ETFs saw a massive increase, jumping from $4.71 billion the previous day to $7.1 billion on Dec. 5.

Bitcoin’s Price Fluctuation

Bitcoin’s price fell over 10% from a record high of $103,607 on Dec. 5 to an intraday low of $92,980 on Dec. 6, before partially recovering to over $98,000. This drop, however, has not dampened ETF trading activity, reflecting continued investor interest despite the price volatility. Bitcoin remains 4% lower over the past 24 hours.

Ether ETFs Break Records

In addition to Bitcoin, Ether ETFs also saw impressive growth. On Dec. 5, U.S.-listed spot Ether ETFs recorded $428.44 million in inflows, marking the largest single-day inflow since their launch in July 2023. This broke the previous record of $333.92 million set on Nov. 29.

The nine Ether ETFs have now posted nine consecutive days of net positive inflows, accumulating over $1.3 billion in the past two weeks. BlackRock’s ETHA led with $292.69 million in inflows, bringing its total to $2.64 billion. Other significant contributors included Fidelity’s FETH with $113.61 million, Grayscale’s Ethereum Mini Trust with $30.69 million, and Bitwise’s ETHW with $6.58 million. However, Grayscale’s ETHE saw outflows of $15.12 million.

Ether Price Rally

This influx of capital into Ether ETFs aligns with Ether’s price rally, which hit an eight-month high of $3,946 on Dec. 5, representing a 14.5% gain over the past two weeks. At the time of writing, Ether was trading at $3,880.

The surge in Bitcoin ETF trading volume and the record-breaking inflows into Ether ETFs underscore the growing investor interest in cryptocurrencies despite recent price fluctuations. Bitcoin’s drop below $100,000 didn’t deter trading activity, and the robust inflows into Ethereum assets signal strong market momentum for both leading cryptocurrencies.