- Investors closely monitored bid-ask spreads as 11 ETFs entered the market.
- Grayscale, BlackRock, and Fidelity lead in dominating trading volumes.
The US-listed Bitcoin exchange-traded funds (ETFs) recorded an impressive $4.6 billion in trading volume on their debut day, signaling a significant moment for the cryptocurrency industry.
The green light from the US Securities and Exchange Commission (SEC) came on Wednesday, paving the way for 11 spot bitcoin ETFs, including industry giants like BlackRock’s iShares Bitcoin Trust and Grayscale Bitcoin Trust, to commence trading. This approval marked a pivotal test for digital assets, challenging the perception of their riskiness and aiming for broader acceptance as a mainstream investment.
Grayscale, BlackRock, And Fidelity Take The Lead
As trading kicked off on Thursday morning, fierce competition for market share emerged among the 11 spot bitcoin ETFs, Reuters reported. Notably, Grayscale, BlackRock, and Fidelity emerged as the dominant players, according to data from LSEG.
The significant trading volumes on the first day reflect the market’s enthusiasm for these new ETF products. However, industry experts caution that this is a marathon, not a sprint, emphasizing the need to observe long-term trends beyond the initial trading surge.
This week, the US Securities and Exchange Commission (SEC) approved the first-ever spot Bitcoin exchange-traded funds (ETFs), marking a pivotal moment in cryptocurrency. After months of speculation and legal wrangling, the SEC’s approval opened the door for the spot Bitcoin ETFs from major players like Fidelity and Grayscale to revolutionize the market.
See Related: Fidelity Joins BlackRock’s Push For Ethereum ETF
SEC’s Approval For Bitcoin ETF
The SEC’s approval signifies a significant departure from its historical skepticism towards spot Bitcoin ETFs, according to a report by the Financial Times. This decision comes after a protracted legal battle, with Grayscale challenging the SEC’s rejection of an earlier spot Bitcoin application.
Amidst the anticipation, a false message briefly rocked the crypto market when hackers claimed the SEC had already approved the applications. This misinformation prompted fluctuations in Bitcoin’s price, which soared over $47,000.
