First ETF Outflow Day in Nearly A Month, Coinbase Pushes for ETH ETF

• Following NVDA's substantial earnings beat announced after yesterday's market close, equities have experienced a significant surge, with the QQQ climbing 2.4% and the SPX advancing 1.6%. The DXY remains unchanged for the day, while gold is experiencing a slight decline, and the yield curve is flattening, marked by a notable increase in short-term rates but a decrease in the 20-year and 30-year rates. In the crypto market, Bitcoin has not seen the same bounce as NVDA but is still managing to sustain above the $51.5k threshold. Meanwhile, $ETH is on the verge of breaking the $3k barrier, showing increased momentum relative to $BTC. The notable standouts in the crypto market this morning have been AI-related tokens such as $AGIX, $WLD, and $FET, which have emerged as the major winners over the past 12 hours. This is an AI narrative-based rally sparked by Nvidia's earnings report, which underscored its optimistic outlook on the growth potential of AI.
• Yesterday marked the first day of net outflows for BTC ETFs since late January, with a modest yet negative outflow of $36 million. This downturn was primarily driven by a $199 million redemption in GBTC, overshadowing the inflows into other newly launched ETFs. Interestingly, GBTC was the only Bitcoin ETF to record outflows, indicating that the recent market uncertainties have not widely prompted profit-taking among investors of ETFs launched post-January. Despite this, GBTC's assets under management (AUM) remain at nearly $23 billion, even after cumulative outflows surpassing $7 billion. In total, Bitcoin ETFs have attracted over $5 billion in net inflows since January 11th, with BlackRock's ETF receiving $5.6 billion, Fidelity's more than $3.7 billion, ARK's over $1.3 billion, and Bitwise's slightly above $1 billion, highlighting sustained investor interest in these products.

Source: Farside Investors, Fundstrat