Spot Bitcoin ETF Inflows Slow Down Amid Market Downturn

On January 22, spot Bitcoin exchange-traded funds (ETFs) in the United States experienced a significant slowdown, with inflows dropping by 69% from the previous day. According to recent data, the total inflows into these funds reached $248.65 million on Wednesday.

The majority of the inflows came from BlackRock’s IBIT, which drew in $344.28 million from investors. In contrast, Grayscale’s GBTC recorded outflows of $47.93 million, while Bitwise’s BITB and ARK 21Shares’ ARKB added to the negative momentum, with investors withdrawing $34.67 million and $13.02 million from the funds, respectively.

Market Performance and Regulatory Developments

Despite the dip in inflows, the spot Bitcoin funds extended their streak of inflows to four consecutive days, accumulating over $3.5 billion during this period. Total trading volume for these investment products stood at $2.97 billion on the day, while the cumulative total net inflows since launch day stood at $39.23 billion.

The slowdown in inflows into the investment products came alongside a 3% decline in Bitcoin (BTC) prices over the last 24 hours, with the cryptocurrency exchanging hands at nearly $102,000 at press time.

Regulatory Framework and Crypto ETF Approval

Following President Trump’s inauguration, the newly appointed interim SEC chair, Mark Uyeda, launched a crypto task force aimed at establishing a comprehensive and clear regulatory framework for crypto assets. Commenting on this development, Matt Mena, Crypto Research Strategist at 21Shares, noted that the task force could pave the way for the approval of a wider variety of crypto ETFs, including those linked to SOL, XRP, LTC, DOT, and DOGE.

“The task force aims to promote structured disclosure frameworks, practical registration paths, and enhanced regulator-industry engagement, which could streamline the approval process for these crypto ETFs while creating a clearer path for broader crypto adoption.”

Key points to consider:

  • Spot Bitcoin ETF inflows slowed down by 69% on January 22.
  • BlackRock’s IBIT drew in $344.28 million from investors.
  • Grayscale’s GBTC and other funds recorded outflows.
  • The crypto task force aims to establish a clear regulatory framework for crypto assets.
  • The task force could pave the way for the approval of a wider variety of crypto ETFs.

For more news and updates on the cryptocurrency market, visit Global Crypto News.

Post Views: 0