Home News Inflows to Canadian Bitcoin ETFs hit all-time high

Inflows to Canadian Bitcoin ETFs hit all-time high

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According to new research, the number of Canadian Bitcoin exchange-traded funds (ETFs) has reached all-time highs, with spot-based products leading the way.

Since January, Canadian Bitcoin ETFs have added 6,594 Bitcoin (BTC) to their holdings, bringing the total number of bitcoins held to 69,052.

According to Glassnode, the Purpose Bitcoin ETF witnessed the most gain in holdings within that time period, increasing by 18.7% to 35,000 BTC.

An exchange-traded fund (ETF) is a type of mutual fund that allows investors to bet on the price of a particular asset without actually owning it. A spot Bitcoin ETF, the Purpose Bitcoin ETF, presently manages around $1.68 billion in assets. There is presently no such Bitcoin ETF available in the US. Nevertheless, the indicators reveal that investors are eager for the Canadian offering.

The crypto exchange outflow rate has hit a 2022 high of 96,200 BTC per month, according to blockchain analytics firm Glassnode’s recent Week OnChain report.

Spot holdings

The analytics company reacted to the events surrounding Bitcoin movements by saying:

“There are severe macroeconomic and geopolitical headwinds of recent months. However, it is extremely impressive to see such large withdrawals from exchanges (spot holdings). As well as inflows into ETF products, DeFi applications, and on-chain accumulation wallets.”

Since about mid-March, bitcoin has been accumulating rapidly. So-called shrimps and whales have accumulated the most. Investors with a balance of 0 to 100 bitcoins are known as shrimps. While those with a balance of 1,000 to 10,000 bitcoins are referred to as whales.

Terra’s Luna Foundation Guard (LFG) is one of the most recent buyers. With a goal of acquiring $3 billion in Bitcoin.

With only 2 million BTC left to mine after the 19 millionth coin mined on April 1, Bitcoin scarcity is becoming a major concern. As acceptance and investment grow among countries, organisations, and people.

“Bitcoin’s scarcity and pristine nature as collateral may well be returning to the foreground once more,” Glassnode said.

Bitcoin threatens $38K as 3-day chart hints at March 2020 Covid crash repeat

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