Posted 1/22/2024, 8:24:00 AM
Bitcoin ETF Trading Volume and Assets Plummet as Spot ETFs Take Hold
- Daily trading volume in ProShares Bitcoin ETF (BITO) has dropped 75% since spot bitcoin ETFs launched on Jan. 11
- BITO has seen over $270 million in net outflows since spot ETFs went live
- Spot ETFs amassed over $1.2 billion in their first week and had higher trading volume than other 2023 ETF launches
- Observers say BITO will remain relevant as a hedging instrument for authorized participants creating/redeeming spot ETF shares
- Some authorized participants may use BITO to hedge spot ETF exposures since they can't directly access bitcoin or CME futures