Summary
TLDR: Bitcoin’s rally in 2024 was largely driven by spot ETFs adding significant amounts of bitcoin from mid-February to mid-March. However, since then, there have been big sales of bitcoin at GBTC while purchases into other ETFs have slowed, leading to negative net flows into the spot ETF group on many days.
Key Points
1. Bitcoin’s rally in 2024 was largely driven by the period from mid-February to mid-March, during which spot ETFs were consistently adding 5,000-13,000 bitcoin daily.
2. Despite significant selling by Grayscale’s GBTC, the momentum of bitcoin purchases through spot ETFs has slowed since the initial surge, with big sales continuing at GBTC while other ETF purchases have decreased.
3. In recent days, there have been instances of net outflows from the spot ETF group as a whole, indicating a shift in investor sentiment and potentially impacting the overall market dynamics for bitcoin.