BlackRock's IBIT ETF Leads Inflows Over Past Four Years

According to Odaily, data reveals that over the past four years, BlackRock's IBIT ETF has seen the highest inflows among the 1,800 ETFs that began trading. Bloomberg ETF analyst James Seyffart attributes this rapid influx of funds partly to investors' long-standing desire to invest in Bitcoin, which lacked a safe or straightforward method before the ETF's approval. Now that the ETF is trading, this pent-up demand is quickly entering the market. Seyffart stated, 'I believe this is partly suppressed demand, but as people learn more, it is also new demand. Traditional financial institutions are also interested in these products, including hedge funds involved in futures trading. This helps improve flow and demand.' He added that hedge funds have been going long on the ETF while selling futures contracts. Meanwhile, the performance of Ethereum spot ETFs has been less impressive. Farside data indicates that, so far, nine ETFs have seen a cumulative net outflow of $491.9 million. However, this does not necessarily mean that demand will not rebound. Investors have redirected cash into other products, which could signal an upcoming turnaround. Seyffart noted, 'It's just that the outflows from Grayscale's ETHE have overshadowed the inflows into other Ethereum ETFs, and that's the current situation.'