Eric Balchunas published a list of the highest-performing ETFs of the 2020s, and two Bitcoin ETFs made the cut. BlackRock’s IBIT and Fidelity’s FBTC were both “stud level,” with over $10 billion in assets under management (AUM).
The beginning of October has seen new outflows for FBTC, but IBIT retained its streak of positive growth.
Bitcoin ETFs Rise to Become Top Performers
Eric Balchunas, the Senior ETF Analyst at Bloomberg, recently compiled a list of top-performing ETFs launched since 2020, at least in terms of AUM. Two of the Bitcoin ETFs launched this year, BlackRock’s IBIT and Fidelity’s FBTC, made the cut. Of these top performers, only the Bitcoin ETFs were launched after the 2022 bear market.
There’s been about 2,000 ETFs launched this decade, here’s the top 10 biggest by assets. All over $10 billion = stud level. Half the list is low-cost legacy active eg [JP Morgan], [Dimensional Fund Advisors], [Capital] Group. IBIT and FBTC stunning given how young they are,” Balchunas wrote on X (Twitter)
Read More: What Is a Bitcoin ETF?
IBIT has been performing particularly well lately. The SEC greenlit options trading for IBIT in late September, a significant milestone of approval. This new investment tool is likely to attract new liquidity and institutional investors. For example, IBIT enjoyed over $111 million in inflows on September 28.
Read More: An Introduction to Crypto Options Trading
FBTC, for its part, has not enjoyed similar breakthroughs lately. “Uptober” started off with a downward trend in the crypto market, and IBIT was the only Bitcoin ETF that maintained its streak of inflows.
FBTC, on the other hand, was the biggest loser, with $144.67 million in outflows. This comes only days after FBTC reported higher inflows than IBIT.
Ultimately, IBIT is showing no signs of stopping. The ETF reached $1 billion in trading volume on October 2, and the main possible concern on its horizon is BlackRock’s recent amendment filing. For now, IBIT is looking like the clear standout of the Bitcoin ETF market.
In an interview with BeInCrypto, Nuno Serafim, the Managing Partner at 3 Comma Capital shared insights on the volatility of these Bitcoin ETFs.
“As passive investment vehicles, the ETFs, by definition, cannot tackle volatility since their focus is to replicate as perfectly as possible the behaviour of the underlying assets. We believe digital assets are strategic and their performance is a long duration story where the main drivers will be use cases and adoption rate. Volatility is an intrinsic feature of long duration assets and that will not change in the foreseeable future,” Serafim told BeInCrypto.
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