Bitcoin ETFs Surpass $750 Billion in Trading Volume Amid Market Shifts

The U.S. spot Bitcoin exchange-traded funds (ETFs) have exceeded $750 billion in cumulative trading volume since launching in January 2024, according to The Block. The rapid surge in volume was initially driven by Bitcoin’s record high of nearly $74,000, with ETFs reaching $100 billion in March and $200 billion by April.

Trading activity slowed when Bitcoin’s price consolidated between $50,000 and $70,000 but regained momentum following Donald Trump’s U.S. presidential election victory on November 6. Shortly after, spot Bitcoin ETFs surpassed $500 billion in total volume. As of Thursday, the cumulative figure stood at $753.2 billion, underscoring strong investor demand.

BlackRock’s IBIT now dominates the U.S. spot Bitcoin ETF market, accounting for over 75% of trading volume as of February 20. Initially, Grayscale’s GBTC led the market, but IBIT has since overtaken it, managing $56 billion in assets under management (AUM) out of the total $112 billion across all spot Bitcoin ETFs.

Despite overall growth, spot Bitcoin ETFs saw $886 million in net outflows this month, including $365 million withdrawn on Thursday amid a Bitcoin price drop. Meanwhile, spot Ethereum ETFs, launched in July 2024, attracted $404 million in net inflows this month, totaling $3.2 billion since inception.

BRN analyst Valentin Fournier noted diverging institutional flows, with Bitcoin ETFs facing outflows while Ethereum ETFs saw modest inflows, signaling a possible market sentiment shift. He also highlighted Bitcoin’s breakout from its price range and a pause in institutional outflows, suggesting potential for further gains.