BlackRock and Fidelity lead the ETF market despite multiple challenges

While Fidelity and BlackRock dominate the performance charts, which ETFs are lagging behind?

    Bitcoin ETFs IBIT and FBTC excelled with over $10 billion in assets amid the market downturn. Ethereum ETFs struggled, facing cumulative outflows as Bitcoin and Ethereum prices declined.

As the cryptocurrency market grapples with a broader downturn, Bitcoin [BTC] ETFs are not immune to the prevailing trends.

Recent reports from Farside Investors reveal that BTC ETFs experienced significant outflows, amounting to $52.9 million on 2nd October.

Balchunas highlights top performers

However, amidst this challenging landscape, Eric Balchunas, a senior ETF analyst at Bloomberg, has identified two standout Bitcoin ETFs—BlackRock’s IBIT and Fidelity’s FBTC—as top performers of the 2020s.

Both funds have achieved “stud level” status, boasting over $10 billion in Assets Under Management (AUM), highlighting their resilience and appeal to investors even in turbulent times.

In his X (formerly Twitter) post, Balchunas noted, 

Source: Eric Balchunas/X

Echoing Balchunas’ sentiment, an X user added, 

Source: Charles/X

Blackrock’s and Fidelity’s Bitcoin ETFs analyzed

This trend was further confirmed by data from Farside Investors, revealing that since its launch, BlackRock’s IBIT has amassed a staggering $21.5 billion in total inflows, while Fidelity’s FBTC has attracted $9.9 billion.

These two ETFs have set the pace, leaving other funds trailing.

However, October, traditionally viewed as an “Uptober” month following a declining September, has brought mixed results.

On the 1st of October, IBIT experienced an inflow of $40.8 million, contrasting sharply with FBTC, which faced outflows of $144.7 million.

IBIT recorded outflows of $13.7 million on the 2nd of October, while FBTC rebounded with inflows of $21.1 million, illustrating the volatility and shifting dynamics within the ETF landscape.

Ethereum ETF performance

Conversely, the performance of Ethereum [ETH] ETFs has also been underwhelming.

On the 1st of October, cumulative outflows for ETH ETFs reached $48.6 million, with BlackRock’s ETHA experiencing no inflows or outflows, while Fidelity’s FETH saw outflows of $25 million.

ETHA continued to struggle, posting outflows of $18 million on the following day.

Whereas FETH maintained a steady position with no flows recorded.

This trend highlights the challenges facing Ethereum ETFs in the current market environment.

Growing concerns around Grayscale’s GBTC

Amidst there was another X user who asked a very concerning question,

“Would this not then make #GBTC one of the worst performing ETFs of this decade?” 

This observation is further substantiated by the latest update from Farside Investors, revealing that Grayscale’s GBTC has experienced a staggering total outflow of $20.1 billion since its launch.

Similarly, Grayscale’s Ethereum ETF, ETHE, had faced significant outflows totaling $2.93 billion, which surpassed the combined outflows of all other ETH ETFs.

BTC and ETH price action

On the price front, both cryptocurrencies were experiencing a downward trend, with Bitcoin trading at $60,480.03, reflecting a decline of 0.98% in the past 24 hours.

Meanwhile, Ethereum was trading at $2,347.81, showing a more substantial dip of 4.35% over the same period. 

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Next: ‘Bitcoin is the exit door’ – Jack Mallers warns of USD fall
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