According to Blockworks, JPMorgan analysts have observed that outflows from Grayscale's bitcoin ETF continue to slow down. Led by Kenneth Worthington, the analysts found that the spot bitcoin ETF experienced approximately $15 million in net sales on Friday. This reversed the four-day streak of redemptions, although the size of sales remains small. Outflows from BlackRock's bitcoin ETF have also decelerated, with Bloomberg Intelligence analyst James Seyffart reporting that outflows from GBTC have now exceeded $5 billion. However, gross flows for other bitcoin ETFs stand at $5.8 billion.
In the 11 days since the ETFs launched, the group has seen net inflows of $759 million. Worthington believes that the slowing transaction volumes may indicate that the hype around these ETFs is abating and entering a more normalized flow environment. Seyffart also noted the slowing volume. Last week, JPMorgan analysts predicted that profit-taking in GBTC would slow down, limiting further downside for bitcoin.
The analysts, led by Nikolaos Panigirtzoglou, suggested that GBTC's high fee of 1.5% could prompt investors to swap Grayscale's fund for an ETF with a lower fee. For comparison, BlackRock's fund carries a fee of 0.25%. VanEck's head of digital assets told Blockworks last week that the flows remained in line with expectations.