Amid anticipations of regulatory shifts in the United States, Bitcoin (BTC) institutional investment products, including ETFs, have witnessed a dramatic volume increase. ProShares and Grayscale are at the forefront of this surge.
Data from Bloomberg, indicate that BTC ETFs are nearing record weekly inflows.
The possible approval of a Bitcoin spot price-based ETF in the U.S. has not only influenced BTC price action, but the surrounding ecosystem has also reaped benefits.
Among the big names experiencing significant trading volumes was the ProShares Bitcoin Strategy ETF (BITO), the first futures-based ETF to receive U.S. approval in 2021. It traded $1.7 billion last week, marking its second-largest trading week since launch.
The Grayscale Bitcoin Trust (GBTC) also saw $800 million in volume, reducing its discount to the Bitcoin spot price to two-year lows.
As noted by Bloomberg senior ETF analyst Eric Balchunas, this cumulative $2.5 billion inflow into these two methods of exposure illustrates a clear audience for spot ETFs.
Meanwhile, the GBTC has been on a comeback trail in recent months, even before BTC/USD gained 15% last week. As per CoinGlass data, GBTC now trades with an implied share price just 13.1% below the BTC spot price, the lowest since November 2021.
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