In a recent report by Farside Investors, it was highlighted that on Monday, May 13, Hong Kong’s spot Bitcoin and Ethereum ETFs experienced a significant outflow of $39.3 million. This outflow marks the highest amount since the products were first introduced on the Hong Kong Stock Exchange on May 2. The outflow was mainly from spot Bitcoin funds issued by Bosera, China Asset Management, and Harvest, which collectively lost $32.7 million. Additionally, Ethereum funds from the same issuers saw a loss of $6.6 million.
Following the outflows, SoSoValue reported a net redemption of 519.5 BTC in a single day, with a daily turnover of $4.25 million. Currently, there are 3,560 BTC held in the funds, valued at approximately $222.5 million. The outflow on Monday completely offset the previous gains made since the launch of the ETFs, resulting in a negative total flow balance of $20.9 million.
In contrast to the situation in Hong Kong, Bitcoin ETFs in the United States witnessed a daily inflow of $66 million on the same day. Fidelity’s FBTC fund led the way with a massive inflow of $38.6 million, followed by Bitwise BITB with $20.3 million. Notably, BlackRock reported a zero flow, while Grayscale’s GBTC saw a net zero flow as its outflows started to slow down.
The cryptocurrency markets experienced a 2% gain in total capitalization, reaching $2.40 trillion at the time of reporting. Despite the recent gains, the markets have remained relatively stable over the past month. Bitcoin briefly touched $63,000 in early Asian trading on Tuesday before dropping to $62,500. Ethereum prices followed a similar pattern but struggled to break the $3,000 resistance level, with ETH trading at $2,930. Altcoins like Solana, Dogecoin, Shiba Inu, and Near Protocol stood out as top performers in a resurgence of meme coins.
Overall, the recent outflows from Hong Kong’s Bitcoin and Ethereum ETFs highlight the volatility and diverging trends in the global cryptocurrency market. While the United States saw strong inflows, Hong Kong experienced significant outflows, reflecting varying investor sentiments and market conditions. The ongoing consolidation and price fluctuations indicate a period of uncertainty and caution for investors in the cryptocurrency space.