Bitcoin hits $49K, spot ETF sees $4.6 billion on first day, GBTC occupies nearly half of trading volume

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Bitcoin Spot ETF First Day Trading Volume Reaches $4.6 Billion

According to data compiled by Bloomberg ETF analyst James Seyffart, the total trading volume of the Bitcoin Spot ETF exceeded $4.6 billion as of the morning of the 12th. Grayscale accounted for $2.326 billion, followed by BlackRock with $1.03 billion, and Fidelity with $710 million.

Unlike the other 10 active ETFs, Grayscale's spot Bitcoin ETF is a conversion from GBTC. Among all 11 Bitcoin ETFs, Valkyrie, WisdomTree, and Hashdex have the lowest trading volume. The Block pointed out that these ETFs had trading volumes of less than $10 million in the first few hours of trading.

Bitcoin Spot ETF Sees $500 Million Trading Volume Surge in First 20 Minutes of Trading

Here's the #Bitcoin ETF Cointucky Derby data via trading volume on day 1 (more volume will continue for a little while).

Total Volume was over $4.6 Billion with $GBTC about half of it. BlackRock & Fidelity went 1 & 2 absent GBTC. pic.twitter.com/t70MzyQfZW

— James Seyffart (@JSeyff) January 11, 2024

Grayscale ETF's High Trading Volume Due to Lock-Up Expiration?

Due to the two-year lock-up mechanism of the pre-conversion GBTC, and with the speculation surrounding the spot Bitcoin ETF, the significant discount of GBTC has also been reduced to single digits. Therefore, the high trading volume of Grayscale's ETF is believed to be a result of profit-taking by previous holders, as speculated by another Bloomberg analyst Eric Balchunas on Twitter.

Eric Balchunas believes that most of the trades in the Grayscale ETF are selling, while the BlackRock and Fidelity ETFs may represent new capital inflows.

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Bitcoin Briefly Touches $49,000

Bitcoin did not experience significant fluctuations when the SEC approved 11 spot ETFs on the morning of the 11th, but it briefly touched $49,000 in the evening after the opening of the U.S. stock market and various major Bitcoin ETFs, returning to levels before the 2022 Terra collapse.

However, Bitcoin quickly retraced to $46,162, showing a 24-hour decrease of -0.72% according to CoinMarketCap.

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