On Tuesday, Bitcoin rebounded, increasing by approximately 6% in the last 24 hours after a significant sell-off at the start of the week. This recovery spurred heightened activity in cryptocurrency exchange-traded funds (ETFs), prominently featuring BlackRock’s iShares Bitcoin Trust (IBIT), which ranked among the most actively traded ETFs in the U.S. that day.
IBIT registered approximately $3.7 billion in trading volume on Tuesday, outpacing Vanguard’s S&P 500 ETF (VOO), which recorded $3.28 billion, as per data from Barchart. This achievement positions BlackRock’s bitcoin fund among the most liquid and widely held ETFs available.
The surge in volume might correlate with bitcoin’s price revival, alongside developments from Vanguard, which has historically been hesitant regarding crypto but recently announced it would permit trading of bitcoin ETFs and crypto mutual funds on its brokerage platform.
BlackRock’s bitcoin offerings have quickly gained traction within the firm’s product suite, having launched less than two years ago. Currently, IBIT boasts $66.3 billion in net assets and stands as the firm’s leading revenue-generating ETF. This is notable given BlackRock’s management of over 1,400 ETFs and holding a total of $13.4 trillion in assets.
Other cryptocurrencies also experienced gains on Tuesday, with ether , XRP, and each surging by approximately 7% over the past day. Cardano’s ADA token outperformed others with a remarkable 14% increase. Meanwhile, Chainlink’s LINK token rose by 11% following Grayscale’s launch of a new ETF linked to it on NYSE Arca.
The upswing in bitcoin prices on Tuesday also positively affected crypto-related stocks. Shares of MicroStrategy (MSTR), which possesses over 174,000 BTC, saw a 6% increase. Trading platform Robinhood (HOOD), which provides crypto services alongside stocks, gained 2%. Bullish (BLSH), the parent company of CoinDesk, advanced by 5%, and Circle (CRLC), which manages the USDC stablecoin, saw a 4% rise.
Conversely, Coinbase (COIN) experienced a downturn, with its shares dropping by 5% after a group of shareholders filed a lawsuit on Monday. The suit accuses company executives of participating in a long-term scheme to distribute billions in stock while misleading investors. It alleges that insiders profited from inflated valuations following Coinbase’s public listing in 2021, undermining long-term shareholders.
The outlook for bitcoin mining stocks appeared less favorable. Despite the broader market’s rebound, most mining stocks dipped on Tuesday. Iren (IREN) led the losses with a 15% decline, followed by Cipher Mining (CIFR), down 10%, and TeraWulf (WULF), which fell by 7%.
