On Thursday, U.S. spot Bitcoin exchange-traded funds (ETFs) saw their fifth consecutive day of net outflows, matching the record for the longest streak of such outflows.

According to JPMorgan estimates, the group experienced preliminary redemptions of $4 million on the day.

“Daily gross flows (excl. GBTC) returned to sales yesterday and were $86mn,” analysts said in a note.

“However, BlackRock’s IBIT flows remained depressed while accounting for just $19mn of inflows, flat from the day prior. Fidelity’s FBTC sales of $38mn led the group. Offsetting these sales, Grayscale’s GBTC redemptions were -$90mn yesterday,” they added.

The growing outflows in BTC ETFs come ahead of an imminent Bitcoin halving event, which is expected to take place later today on Friday, April 19. The development is set to halve the daily production of new Bitcoins from 900 to 450.

“While we don’t anticipate any direct impact to ETF trading and/or the structure of the vehicles, halving events have proven to be a catalyst for Bitcoin prices previously,” analysts at JPMorgan noted.

The analysts see Riot Platforms (NASDAQ:) and CleanSpark (NASDAQ:) as stocks that are best positioned to benefit from a potential halving rally, “with Cipher Mining (NASDAQ:) relatively worse off.”

Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *