Launching the first futures-based Bitcoin ETF (BITO), ProShares bought 4,840 CME-traded contracts. This represents 95.5% of the total AUM among the three SEC-approved SEC exchange-traded funds, according to Arcane Research analysts.
The Weekly Update: Week 46
🔹BITO is the definite leader in the futures-based bitcoin ETF market
🔹Bitcoin transaction fees have been unusually low in the last 6 months. Why?
🔹Bitcoin miners are natural sellers, but their selling pressure is minimalhttps://t.co/gI5UtMW6Wr— Arcane Research (@ArcaneResearch) November 23, 2021
To the competition’s share — BTF by Valkyrie Investments and XBTF by VanEck — accounted for 3.9% and 0.6% of total AUM, respectively. Trading on the first instrument began October 22, the second on October 25. Retail access to BITO was available to retail investors on October 19.
Since its debut, BITO’s AUM has grown by 147%, the BTF ETF has gained 50% since its first day of trading, while XBTF has fallen by 5%.
At present, ProShares is reorienting the ETF toward December contracts from November ones, ahead of expiration. Analysts see this as a move to save on rolling the position. In their view, the size of BITO could have a noticeable impact on the bitcoin futures underlying it.
The volume of funds raised in this ETF indicates real demand for bitcoin on traditional markets, the experts concluded.
In October, ProShares filed an application with CME to lift restrictions on the maximum permissible volume of buy contracts.
Earlier, Bloomberg analysts were skeptical about the emergence of a spot bitcoin ETF ahead of the futures Ethereum ETF.
Subscribe to ForkLog’s channel on YouTube!