Hong Kong Bitcoin and Ether ETF liquidates two weeks of inflows in one day
Hong Kong’s Bitcoin (BTC) and Ethereum (ETH) exchange-traded funds (ETFs) recorded their largest ever net outflow on Monday, May 13, wiping out all the profits they had earned since launch in less than two weeks.
Bosera, ChinaAMC and Harvest Global’s spot Bitcoin ETF funds saw net outflows of $32.7 million, while ChinaAMC’s Bitcoin fund suffered the biggest loss on the day with outflows of $15.5 million, according to Farside Investors data. Yes.
Meanwhile, spot Ether ETFs from the same issuer recorded joint net outflows totaling $6.6 million. Harvest Global and ChinaAMC recorded the largest outflows at $3 million each.
As of Monday, total outflows across all funds since the start of trading on April 30 were $20.9 million, surpassing the total inflows of $18.4 million as of Friday, May 10.
Monday’s outflows also marked the third consecutive trading day of net outflows for Hong Kong-based cryptocurrency ETFs, with total outflows of $52.5 million since May 9.
Additionally, this is the first time a total of $9.8 million has been withdrawn from Harvest Global’s Bitcoin ETF.
Related: Hong Kong spot Bitcoin and Ether ETF struggling to gain traction.
It comes as BTC traded below $61,000 over the weekend in what many believe is part of the post-halving slump.
Bitcoin mining rewards were cut by 50% on April 20th. This is a scarcity mechanism coded into the blockchain that causes the price of Bitcoin to fall, typically within a few weeks, as the market absorbs the new issuance schedule.
The cryptocurrency ETF market in the region is significantly smaller compared to the U.S., both in terms of funds offered and assets under management.
Eleven U.S. spot Bitcoin ETFs have over $50 billion in assets under management. According to SoSoValue, Hong Kong’s ETF holds $179.2 million, split between an 88.5% stake in the Bitcoin ETF and the remaining space in the Ether ETF.
magazine: Bitcoin ETF Makes Coinbase a ‘Honeypot’ for Hackers and Governments — Trezor CEO
