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The Zacks Analyst Blog Highlights iShares Bitcoin ETF, SPDR Gold Shares and Wise Origin Bitcoin Fund
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For Immediate Release
Chicago, IL – March 7, 2024 – Zacks.com announces the list of stocks and ETFs featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. ETFs recently featured in the blog include: iShares Bitcoin ETF (IBIT - Free Report) , SPDR Gold Shares (GLD - Free Report) and Wise Origin Bitcoin Fund (FBTC - Free Report) .
Here are highlights from Wednesday’s Analyst Blog:
Spot Bitcoin ETF Top $10 Billion in AUM
BlackRock's iShares Bitcoin ETF set a new benchmark in the ETF industry by reaching $10 billion in assets under management (AUM) on Mar 1, just seven weeks after its launch on Jan 11. This made it the fastest ETF to achieve this milestone. IBIT now stands as the premier spot Bitcoin trading vehicle.
This milestone not only underscores the growing investor confidence in digital assets but also marks a significant moment in the maturation of the cryptocurrency market as a legitimate and viable investment sector. The achievement surpasses the record previously held by SPDR Gold Shares, which took over two years after its 2004 launch to reach the $10 billion AUM mark.
Behind the Success
This rapid growth was bolstered by a record-breaking week of trading and inflows among a group of 10 trading spot bitcoin ETFs, with IBIT alone witnessing inflows of $604 million on Feb 29, closely following a single-day record of $612 million the previous day. According to Bloomberg Intelligence, more than three-quarters of IBIT's AUM originated from investment inflows, with the remainder attributed to price appreciation. Notably, iShares Bitcoin Trust raked in $4.5 billion in capital in February (read: 5 ETFs That Gained Investors Love in February).
Several factors contribute to the growing allure of IBIT. First, it offers a secure and regulated investment vehicle for those looking to gain exposure to Bitcoin, addressing concerns around security, custody and regulatory compliance that can deter direct investment in cryptocurrencies. Secondly, the ETF makes Bitcoin accessible to a broader range of investors, including those who may be new to the cryptocurrency space or prefer investing through traditional financial instruments.
Spot Bitcoin ETFs are considered to be a game changer for cryptocurrency investors and the surge in ETF inflows signals a growing trend of institutional investment in Bitcoin.
Amid the strong demand for spot bitcoin ETFs, the world's largest cryptocurrency is experiencing an unstoppable rally this year. Bitcoin touched an all-time high of $69,000 on Mar 5 before dipping below $64,000. At its new high, the cryptocurrency was up about 63% in 2024, outperforming global stocks and spreading optimism across the digital-asset market.
The solid rally in the token and ETFs appeal is likely to continue, given its upcoming “halving” event in April. Halving, which reduces the reward for mining new blocks, has historically been seen as a catalyst for Bitcoin's price. With Bitcoin's unique position in the digital currency space, many remain bullish on its future, forecasting it to breach the $100,000 mark before year-end (read: Bitcoin on an Unstoppable Rally: 5 Sizzling Hot ETFs).
IBIT in Focus
iShares Bitcoin Trust seeks to reflect the performance of the price of Bitcoin. It enables investors to access Bitcoin within a traditional brokerage account. The fund charges 25 bps in annual fees from investors. However, the fee is set to be 0.12% for the first 12 months or on the first $5 billion in assets.
IBIT is closely followed by Fidelity’s Wise Origin Bitcoin Fund, which has about $6.6 billion in assets.
Bottom Line
The IBIT ETF surpassing $10 billion in AUM is a turning point for the cryptocurrency investment landscape. It reflects growing investor confidence, the maturation of the market and the increasing acceptance of digital assets within the traditional financial ecosystem. As the market continues to evolve, the IBIT Bitcoin ETF's success may well be seen as a critical milestone in the broader integration of cryptocurrencies into the global investment portfolio.
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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The Zacks Analyst Blog Highlights iShares Bitcoin ETF, SPDR Gold Shares and Wise Origin Bitcoin Fund
For Immediate Release
Chicago, IL – March 7, 2024 – Zacks.com announces the list of stocks and ETFs featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. ETFs recently featured in the blog include: iShares Bitcoin ETF (IBIT - Free Report) , SPDR Gold Shares (GLD - Free Report) and Wise Origin Bitcoin Fund (FBTC - Free Report) .
Here are highlights from Wednesday’s Analyst Blog:
Spot Bitcoin ETF Top $10 Billion in AUM
BlackRock's iShares Bitcoin ETF set a new benchmark in the ETF industry by reaching $10 billion in assets under management (AUM) on Mar 1, just seven weeks after its launch on Jan 11. This made it the fastest ETF to achieve this milestone. IBIT now stands as the premier spot Bitcoin trading vehicle.
This milestone not only underscores the growing investor confidence in digital assets but also marks a significant moment in the maturation of the cryptocurrency market as a legitimate and viable investment sector. The achievement surpasses the record previously held by SPDR Gold Shares, which took over two years after its 2004 launch to reach the $10 billion AUM mark.
Behind the Success
This rapid growth was bolstered by a record-breaking week of trading and inflows among a group of 10 trading spot bitcoin ETFs, with IBIT alone witnessing inflows of $604 million on Feb 29, closely following a single-day record of $612 million the previous day. According to Bloomberg Intelligence, more than three-quarters of IBIT's AUM originated from investment inflows, with the remainder attributed to price appreciation. Notably, iShares Bitcoin Trust raked in $4.5 billion in capital in February (read: 5 ETFs That Gained Investors Love in February).
Several factors contribute to the growing allure of IBIT. First, it offers a secure and regulated investment vehicle for those looking to gain exposure to Bitcoin, addressing concerns around security, custody and regulatory compliance that can deter direct investment in cryptocurrencies. Secondly, the ETF makes Bitcoin accessible to a broader range of investors, including those who may be new to the cryptocurrency space or prefer investing through traditional financial instruments.
Spot Bitcoin ETFs are considered to be a game changer for cryptocurrency investors and the surge in ETF inflows signals a growing trend of institutional investment in Bitcoin.
Amid the strong demand for spot bitcoin ETFs, the world's largest cryptocurrency is experiencing an unstoppable rally this year. Bitcoin touched an all-time high of $69,000 on Mar 5 before dipping below $64,000. At its new high, the cryptocurrency was up about 63% in 2024, outperforming global stocks and spreading optimism across the digital-asset market.
The solid rally in the token and ETFs appeal is likely to continue, given its upcoming “halving” event in April. Halving, which reduces the reward for mining new blocks, has historically been seen as a catalyst for Bitcoin's price. With Bitcoin's unique position in the digital currency space, many remain bullish on its future, forecasting it to breach the $100,000 mark before year-end (read: Bitcoin on an Unstoppable Rally: 5 Sizzling Hot ETFs).
IBIT in Focus
iShares Bitcoin Trust seeks to reflect the performance of the price of Bitcoin. It enables investors to access Bitcoin within a traditional brokerage account. The fund charges 25 bps in annual fees from investors. However, the fee is set to be 0.12% for the first 12 months or on the first $5 billion in assets.
IBIT is closely followed by Fidelity’s Wise Origin Bitcoin Fund, which has about $6.6 billion in assets.
Bottom Line
The IBIT ETF surpassing $10 billion in AUM is a turning point for the cryptocurrency investment landscape. It reflects growing investor confidence, the maturation of the market and the increasing acceptance of digital assets within the traditional financial ecosystem. As the market continues to evolve, the IBIT Bitcoin ETF's success may well be seen as a critical milestone in the broader integration of cryptocurrencies into the global investment portfolio.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.
Get it free >>
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.