Spot Bitcoin (BTC) exchange-traded funds (ETFs) have attracted $1.90 billion U.S. of capital in their first three days of trading in the U.S.
Nine new ETFs that track the spot price of Bitcoin have seen strong inflows of capital in their first days of trading, with fund giants BlackRock (BLK) and Fidelity pulling in most of the money.
However, analysts say it remains to be seen if the spot Bitcoin ETFs can continue attracting capital at such a brisk pace moving forward.
The most bullish analysts have said that flows into Bitcoin ETFs could reach as much as $100 billion U.S. by the end of 2024.
In a recent research report, analysts at JPMorgan Chase (JPM) said that the new Bitcoin ETFs could attract $36 billion U.S. of capital from investors.
The big initial inflows come despite the price of Bitcoin falling nearly 10% since the U.S. Securities and Exchange Commission (SEC) approved the ETFs on Jan. 10.
In the lead-up to the SEC approval, Bitcoin’s price had rallied about 70% and peaked at $49,000 U.S. The price of the biggest cryptocurrency by market capitalization is now at $42,375 U.S.
Analysts say most of the money flowing into the Bitcoin ETFs has so far come from retail investors, and that the next hurdle for the funds will be to attract capital from large institutional investors such as pension funds and university endowments.
