Bitcoin ETFs Surge: Spot Surpasses Silver, Newborn Nine See Volume Spike

A chart with Bitcoin logo making higher volume than silver

The rise of US Bitcoin ETFs reaches new heights as they take silver’s crown to become the second-largest single commodity ETF. Spot BTC ETFs soar past silver with a $27.5 billion AUM, representing 647,651 BTC. Meanwhile, the “Newborn Nine” defy convention with a 34% volume surge, hinting at a shift in investor preferences.

The US Bitcoin ETF landscape heats up again with two major developments.

Second-Largest Commodity

Combined assets under management (AUM) for US spot Bitcoin ETFs, including Grayscale Bitcoin Trust (GBTC), have eclipsed silver to claim the second-largest single commodity ETF title in the US. With 647,651 BTC and a $27.5 billion AUM, Bitcoin solidifies its position as a major investment asset. Gold ETFs maintain top spot with $96.3 billion across 19 funds.

A Growing Investor Interest

The recently launched “Newborn Nine” US spot BTC ETFs experience a surprising 34% trading volume surge compared to the previous day. This defies the typical post-launch volume decline, indicating growing investor interest in these newer offerings. Eric Balchanus, senior ETF analyst at Bloomberg, highlights this as a “good sign” and suggests a potential shift away from GBTC’s dominance.

In a Twitter post, Balchanus wrote:

“Day Four was a good one, the ROLLING NET FLOWS grew to +$1.2b after the Newborn Nine pulled in $914b on Wed, by far their best day yet, overwhelming the $450 out of $GBTC. The ‘Nine’ have now taken in $3b and traded $5.4b in first four days (abnormally high #s). $IBIT is now over $1b, $FBTC close behind & $BITB firmly in 3rd place now. Five of them are over $100m.”

An Evolving Landscape

These developments point towards a maturing US Bitcoin ETF market with increasing diversification and competition. The future of this market holds intrigue, with questions surrounding the Newborn Nine’s momentum and the evolving regulatory landscape. One thing is clear: Bitcoin ETFs are here to stay, shaping the way investors access and participate in the digital asset revolution.

Author: Jinka

Jinka is a self-trained crypto journalist, passionate about happenings in the industry.