Grayscale Bitcoin ETF GBTC Inflows Hit All-Time High

Cash outflows have decreased GBTC Grayscale Bitcoin ETF to a record high of $17.5 million on Wednesday, it showed Data SosoValue company.

The GBTC fund recorded net withdrawals totaling more than $450 million on Monday and Tuesday. The total accumulated capital outflows over the past three months amounted to more than $15 billion.

“The decline in GBTC outflows represents a positive signal for the cryptocurrency market, given the relative decline in current selling pressure on Bitcoin,” said Nick Rock, COO at ContentFi Labs.

Fidelity's Bitcoin ETF saw net inflows of $76.3 million on Wednesday. While the Bitwise Bitcoin ETF added $24.3 million.

Read also: Genesis sold all its GBTC shares worth more than $2 billion

Ark Invest also saw net inflows of $7.3 million, bringing total inflows into US Bitcoin funds to $90 million.

Expectations of stable flows from the GBTC Fund

for his part, He said Michael Sonnenschein, CEO of Grayscale Investments, said the company's fund has already started moving toward a break-even state with its outflows. This is what the statements reported by Reuters reveal. He added that this follows a period of capital flight caused by sales movements against a backdrop of bankruptcies, such as that of the FTX platform.

Benjamin Stani, director of business development at Matrixport, believes that GBTC's cash flow is already stabilizing. Highlighting that many forced sellers, in line with expectations, have exhausted their resources. He believes the fund's flows will remain volatile, particularly with the possibility of a return to increased flows if transactions are characterized by major bankruptcies.

“I think the market is taking it more seriously this time,” he explains. “It is natural that we reach a certain balance at some point, and Sonnenschein's comment suggests that we are close to that point.”

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