Grayscale, BlackRock, and Fidelity Rule Bitcoin ETFs with $1.6B Trading Volume

Last week marked a significant achievement for Grayscale, BlackRock, and Fidelity as they secured approval for trading in the spot bitcoin ETF market. These financial powerhouses are not just participating; they are leading the pack, heading the 11 available bitcoin ETFs for trading.

What does the future hold for this power trio? Read on!

Dominating the Market

As the curtains closed on Tuesday’s trading session, Grayscale, BlackRock, and Fidelity emerged as undeniable leaders, collectively accounting for a remarkable 90% of the total trading volume. Together, they contributed an impressive $1.6 billion to the overall trading volume of $1.8 billion.

These three have collectively contributed $1.6 billion out of the total $1.8 billion in trading volume. Despite the overall volume dipping from Friday’s peak of $3 billion, these market giants maintained an impressive stronghold. 

Despite a slight dip in the overall trading volume from the Friday peak of $3 billion, these market giants stood firm. Their combined contribution of $1.6 billion, even amidst a decrease in total volume, highlights the resilience of Grayscale, BlackRock, and Fidelity in the evolving spot bitcoin ETF market.

Trading Trends Insights

Coinpedia’s report showcased a strong start, with the first-day trading volume reaching an impressive $4.6 billion. This early momentum laid the foundation for the subsequent dominance of these three!

The Rise of the ‘Liquidity King’

While Grayscale initially dominated the volume charts, BlackRock is emerging as a potential ‘Liquidity Leader,’ gaining significant momentum. Notably, Grayscale’s spot bitcoin ETF, a conversion of its flagship GBTC fund, witnessed outflows, shedding over $500 million since its debut. Eric Balchunas, senior ETF analyst at Bloomberg Intelligence, identifies BlackRock’s ETF as the likely leader in the liquidity race.

Both BlackRock and Fidelity have experienced substantial inflows, exceeding $400 million since the start of trading. Despite Grayscale’s outflows, the overall trading activity for these new funds, as analyzed by Balchunas, remains robust. The cumulative volume over the first three days has surpassed $9.5 billion, mirroring the successful launch pattern observed in $BITO, the most successful organic ETF launch in history.

As the spot bitcoin ETF market matures, the dominance of Grayscale, BlackRock, and Fidelity signals a positive shift in the market.