The much-anticipated launch of six new spot Bitcoin and Ethereum exchange-traded funds (ETFs) in Hong Kong met with underwhelming response, disappointing investors and industry watchers alike.
Lackluster Performance in Hong Kong’s ETF Market
Despite high hopes, the initial trading volumes for these ETFs failed to impress, painting a subdued picture compared to the robust activity witnessed during the debut of similar ETFs in the United States.
Recent data from the Hong Kong Stock Exchange (HKEX) reveals that the performance and interest in the six Bitcoin and Ethereum ETFs managed by China Asset Management, Harvest Global, Bosera, and HashKey were relatively dull following their debut.
Comparing Hong Kong and US ETFs
The trading volume for these ETFs reached just HK$87.5 million ($11.2 million), in stark contrast to the impressive $4.6 billion achieved by the inaugural trading of 11 spot Bitcoin ETFs in the U.S.
Meanwhile, The total trading volume in Hong Kong’s new spot Bitcoin and Ethereum ETFs is also considerably lower than the first-day trading volume of U.S.-based spot BTC ETFs, which amounted to $655 million.
Bitcoin’s Struggle and Market Impact
The lackluster performance of the new ETFs coincides with Bitcoin’s struggles to maintain its momentum. Starting the week on a positive note, Bitcoin briefly surpassed $67,000 before facing a downward trend. The cryptocurrency’s price dropped to $60,700 on Monday, impacting the broader crypto market, which experienced a 3% decrease in total market capitalization.
Bitcoin’s Current Status
As of now, bitcoin is trading at $61,207, showing a slight decrease in price over the last 24 hours. Despite this decline, the trading volume has surged by 39%, reaching a market capitalization of $1.2 trillion.
Also Read: Hong Kong ETFs: Opening Doors for Chinese Investors
