Nine Bitcoin ETFs hit record high trading volumes, with BTC reaching $53K and ETH surpassing $3,000.

Table of Contents

Nine Bitcoin Spot ETFs Hit Record High Trading Volume

Bloomberg ETF analyst Eric Balchunas pointed out on X that the trading volume of nine Bitcoin spot ETFs, excluding Hashdex and GBTC, approached nearly $2 billion on the evening of the 20th, marking a historical high since the first day of trading on January 11.

Among them, HODL, BTCW, and BITB each hit record high trading volumes as follows:

• VanEck HODL: nearly $400 million

• WisdomTree BTCW: $2.219 billion

• BitWise BITB: $1.7829 billion

The Nine had biggest volume day since Day One with about $2b in combined trading thx to big contributions from $HODL, $BTCW and $BITB which all broke their personal records. For context $2b in trading would put them in Top 10ish among ETFs and Top 20ish among stocks. It's a lot. pic.twitter.com/547pIl5grI

— Eric Balchunas (@EricBalchunas) February 20, 2024

Surge in ETF Trading Numbers

Eric Balchunas stated:

The $2 billion trading volume will place them among the top 10 ETFs and around the top 20 in terms of trading volume in the US stock market, which is really high. HODL has seen a growth of more than 14 times in average daily trading volume, and this is not from a single large investor, but from 32,000 individual trades, which is 60 times the average level.

In addition, BTCW suddenly had about 23,000 independent trades last Friday compared to just 221 trades, with a trading volume of $154 million, which is 12 times the average and 25 times the total asset size.

GBTC saw an outflow of about $137 million.

Still haven't figured out what happened. No one knows. Given how sudden and explosive the increase in number of trades was (500 trades Friday, 50,000 trades today) I'm wondering if some Reddit or TikTok influencer type recommended them to their followers. Feels retail army-ish. https://t.co/WazxSSgFjR

— Eric Balchunas (@EricBalchunas) February 20, 2024

ETH Touches $3,000 Mark

The strong performance of the ETFs caused Bitcoin and Ethereum to briefly touch $53,006 and $3,033, respectively, last night, before pulling back to $52,103 and $2,997.

Some analysts attribute the performance of Bitcoin ETFs to the outflow from gold ETFs. However, previous reports indicated that ETFs such as IVV and VOO in the S&P 500 index also saw inflows of over $10 billion, so the claim that all outflows from gold ETFs went into Bitcoin ETFs seems less plausible.

Gold ETF Funds Flowing into Bitcoin? Is BTC Digital Gold or a Risk Asset?

Furthermore, February 19 happened to be the annual Presidents Day in the US, which led to February 20th being the first trading day since last Friday, speculated to be one of the potential reasons for the surge in ETF trading volume.