BlackRock's spot Bitcoin ETF, IBIT, has achieved a major milestone by surpassing Grayscale's GBTC to become the largest Bitcoin fund in the market. This milestone was reached on May 28, with IBIT recording over $100 million in inflows.
In just four months, IBIT has amassed an impressive AUM of nearly $19.79 billion, while Grayscale's GBTC has seen a decline of approximately $18 billion during the same period, now standing at $19.75 billion.
Institutional Investors Drive Bitcoin ETFs: BlackRock's Dominance and Grayscale's Challenges
Institutional investors continue to show strong support for Bitcoin ETFs, with total net inflows of 632 BTC on May 28 alone. BlackRock led the way with an addition of 1,505 BTC, surpassing Grayscale. Fidelity also saw an increase, adding 505 BTC, while Grayscale experienced a net outflow of 1,550 BTC.
BlackRock also added nearly $4.1 million worth of IBIT shares to its other funds, further solidifying its position in the Bitcoin market.
Bitcoin ETFs Secure 5% of Total Supply: Insights into U.S. Spot BTC ETF Holdings
Bitcoin ETF funds worldwide now hold approximately 5% of the total Bitcoin supply. U.S. Spot BTC ETFs collectively hold around 842,000 BTC, valued at approximately $57.2 billion, accounting for 4.27% of the current BTC supply.
Despite showing a mild upside move, the BTC price continues to trade below its crucial resistance of $70,000. However, on-chain data suggests a bullish outlook for Bitcoin going forward.
BlackRock's IBIT has overtaken Grayscale's GBTC to become the largest Bitcoin fund, signaling growing institutional interest in Bitcoin ETFs. With strong support from institutional investors, Bitcoin ETFs now control a significant portion of the total Bitcoin supply, indicating increasing adoption and market maturity.