Spot Bitcoin ETFs Experience $1.3B Inflows in May, Reversing April’s Losses

May witnessed a significant rebound for spot Bitcoin ETFs, with $1.3 billion in inflows, as reported by Bloomberg’s Eric Balchunas. This recovery offsets April’s $344 million outflows, bringing the total net value to around $12.3 billion. Despite the volatility, the long-term outlook remains positive. Notably, U.S. spot Bitcoin ETFs saw substantial daily inflows mid-May, signaling growing investor confidence. Among the largest ETFs, Grayscale’s GBTC and BlackRock’s IBIT lead, with rapid asset accumulation showcasing strong market demand.

Spot Bitcoin exchange-traded funds (ETFs) have experienced a significant turnaround in May, with a notable influx of $1.3 billion, effectively reversing the $344 million in outflows recorded in April. This resurgence has propelled the BTC ETFs back to their peak performance levels.

**Spot Bitcoin ETFs Experience a Surge with $1.3 Billion Inflows in May**

The month of May has marked a period of recovery for spot Bitcoin ETFs, as highlighted by Bloomberg’s senior ETF analyst, Eric Balchunas. He pointed out that within a span of two weeks, these ETFs attracted $1.3 billion in inflows, compensating for the losses seen in the preceding month. Consequently, the total net value of these ETFs has rebounded to around $12.3 billion since their inception.

Balchunas commented on the volatility of inflows and outflows, noting that such fluctuations are typical in the ETF market. He advised investors to maintain a level-headed approach towards these changes, underscoring his optimism about the long-term benefits of investing in spot Bitcoin ETFs.

April posed challenges for BTC ETFs, culminating in net outflows of $344 million, with a significant withdrawal of $51.5 million recorded on April 29 alone. The primary contributor to these outflows was Grayscale’s converted fund, GBTC. However, the trend shifted positively in May, with U.S. spot Bitcoin ETFs witnessing net inflows of $116.8 million on May 13, thereby breaking a streak of four consecutive weeks of net outflows.

The momentum continued with inflows of $151.4 million on May 14, $303 million on May 15, and $257.3 million on May 16, signaling a robust recovery and increasing investor confidence in spot Bitcoin ETFs.

**BTC ETFs Achieve Record Growth**

Despite the recent ups and downs, the scale of inflows and outflows remains relatively minor when compared to the overall assets under management of these funds. Leading the pack are Grayscale’s GBTC and BlackRock’s IBIT, boasting assets of $18.27 billion and $17.31 billion, respectively, with Fidelity’s FBTC also amassing $9.64 billion in assets.

The swift asset accumulation by IBIT and FBTC has set new benchmarks in the ETF sector. IBIT reached the $10 billion asset milestone in merely 49 trading days, while FBTC accomplished the same feat in 77 days. This unprecedented growth underscores the strong market demand and investor enthusiasm for spot BTC ETFs.