A recent report has revealed that BlackRock and Fidelity Investment’s spot Bitcoin ETFs, IBIT and FBTC, have quickly become the most popular funds offered by the two asset managers within less than 50 days of trading.
Launched on January 11, IBIT and FBTC have consistently shown impressive performance, surpassing other ETFs in their respective lineups. The data, shared by Bloomberg ETF analyst Eric Balchunas, indicates that IBIT has attracted more than half of BlackRock’s net inflows for the year, while FBTC accounted for 70% of Fidelity’s year-to-date flows.
Both ETFs have achieved a notable milestone by securing continuous cash inflows for 49 consecutive days, placing them among the top streaks in the ETF market. This sustained investor interest signifies a growing confidence in these funds.
Contrary to perceptions of ETF investors withdrawing during market downturns, recent data shows that ETF investments have remained stable even during periods of price decline. Balchunas pointed out that despite an 8% drop in Bitcoin prices, ETFs collectively received about $1.2 billion over the past five days.
The report also challenges the notion that ETF investors lack sophistication or resilience, citing historical data that shows ETF inflows during significant market downturns in the past. The consistent performance of IBIT and FBTC further highlights the strategic patience and confidence of ETF investors in various market conditions.
