Spot Bitcoin ETFs Hit Lowest Volume Since Jan. 11; Grayscale Unloads Over 13,000 Bitcoin, 9 New ETFs Hold $4.91B in Assets
According to the latest data, spot bitcoin exchange-traded funds (ETFs) experienced their lowest trading volume day since Jan. 11, 2024. On Wednesday, these ETFs recorded approximately $1.28 billion in volume. Additionally, Grayscale's Bitcoin Trust GBTC has sold off another batch of bitcoins. In the last 24 hours, a total of 13,178.50 bitcoin, valued at $527 million, was offloaded.
As of Thursday, Jan. 25, Grayscale's GBTC holds 523,516.43 BTC. Based on the current BTC exchange rates, this amount is valued at approximately $20.71 billion. However, this figure represents a decrease of 13,178.50 BTC compared to the previous day, when the holding was 536,694.93 BTC. Since Jan. 12, 2024, GBTC's bitcoin holdings have diminished by 93,563.56 BTC, which is equivalent to a value of $3.74 billion.
Despite Wednesday's lower trading volume, GBTC remains a significant player in the market. It accounted for $610 million out of the day's total trading volume of $1.28 billion. In contrast, other spot bitcoin ETFs are steadily accumulating bitcoins. For example, Blackrock's IBIT currently holds 45,668.08 BTC, valued at approximately $1.83 billion.
Fidelity's FBTC has not yet updated its daily figures, but onchain metrics suggest that it now contains 39,319 BTC. On Wednesday, Ark Invest's ETF had a holding of 12,880 BTC, which remained unchanged by Thursday. Bitwise's holdings also remain static, with its address "1CKVs" securing 11,858.64 BTC.
Vaneck's HODL ETF has experienced a modest rise, increasing from 2,715.77 BTC to 2,772.33 BTC within a day. Similarly, Franklin Templeton's EZBC has escalated from 1,305 BTC to 1,344 BTC. The Invesco Galaxy ETF, known as BTCO, has an estimated 6,339 BTC based on its assets under management (AUM). Valkyrie's BRRR ETF has increased from 2,201.50 BTC to a total of 2,429.72 BTC. Wisdomtree's BTCW ETF has also seen growth, moving from 191 BTC to 201 BTC. In total, these newly launched spot bitcoin ETFs now hold 122,831.77 BTC, worth an estimated $4.91 billion.
What are your thoughts on the latest GBTC outflow and the accumulation from other ETFs? Feel free to share your opinions in the comments section below.
Frequently Asked Questions
Should you Invest In Gold For Retirement?
The answer will depend on how many dollars you have saved so far and whether you had gold as an investment option at the time. You can invest in both options if you aren't sure which option is best for you.
Gold is a safe investment and can also offer potential returns. It is a good choice for retirees.
Although most investments promise a fixed rate of return, gold is more volatile than others. Because of this, gold's value can fluctuate over time.
But this doesn't mean you shouldn't invest in gold. Instead, it just means you should factor the fluctuations into your overall portfolio.
Another benefit of gold is that it's a tangible asset. Gold is more convenient than bonds or stocks because it can be stored easily. It can be easily transported.
You can always access your gold if it is stored in a secure place. Plus, there are no storage fees associated with holding physical gold.
Investing in gold can help protect against inflation. It's a great way to hedge against rising prices, as gold prices tend to increase along with other commodities.
You'll also benefit from having a portion of your savings invested in something that isn't going down in value. Gold tends to rise when the stock markets fall.
Another benefit to investing in gold? You can always sell it. As with stocks, your position can be liquidated whenever you require cash. You don't even need to wait for your retirement.
If you do decide to invest in gold, make sure to diversify your holdings. Don't put all your eggs on one basket.
Also, don't buy too much at once. Start with a few ounces. Add more as you're able.
The goal is not to become rich quick. It is to create enough wealth that you no longer have to depend on Social Security.
While gold may not be the best investment, it can be a great addition to any retirement plan.
How does a gold IRA work?
For people who are looking to invest in precious materials, Gold Ira account accounts provide tax-free investments.
You can purchase physical gold bullion coins anytime. To invest in gold, you don't need to wait for retirement.
You can keep gold in an IRA forever. When you die, your gold assets won't be subjected to taxes.
Your heirs will inherit your gold, and not pay capital gains taxes. Your gold is not part of your estate and you don't have to include it in the final estate report.
To open a gold IRA, you will first need to create an individual retirement account (IRA). Once you've completed this step, an IRA administrator will be appointed to your account. This company acts as a mediator between you, the IRS.
Your gold IRA custodian is responsible for handling all paperwork and submitting the required forms to the IRS. This includes filing annual returns.
After you have created your gold IRA, the only thing you need to do is purchase gold bullion. The minimum deposit required for gold bullion coins purchase is $1,000 You'll get a higher rate of interest if you deposit more.
You will pay taxes when you withdraw your gold from your IRA. You'll have to pay income taxes and a 10% penalty if you withdraw the entire amount.
If you only take out a very small percentage of your income, you may not need to pay tax. There are exceptions. You'll owe federal income tax and a 20% penalty if you take out more than 30% of your total IRA assets.
You shouldn't take out more then 50% of your total IRA assets annually. You'll be facing severe financial consequences if you do.
How much gold should you have in your portfolio?
The amount that you want to invest will dictate how much money it takes. Start small with $5k-10k. Then as you grow, you could move into an office space and rent out desks, etc. This will allow you to pay rent monthly, and not worry about it all at once. Rent is only paid per month.
Consider what type of business your company will be running. My website design company charges clients $1000-2000 per month depending on the order. Consider how much you expect to make from each client, if you decide to do this kinda thing.
Freelance work is not likely to pay a monthly salary. The project pays freelancers. So you might only get paid once every 6 months or so.
You need to determine what kind or income you want before you decide how much of it you will need.
I recommend starting with $1k-$2k in gold and working my way up.
What precious metals could you invest in to retire?
These precious metals are among the most attractive investments. They're both easy to buy and sell and have been around forever. You should add them to your portfolio if you are looking to diversify.
Gold: Gold is one of man's oldest forms of currency. It is stable and very secure. Because of this, it's considered a good way to preserve wealth during times of uncertainty.
Silver: Silver is a popular investment choice. It's a good choice for those who want to avoid volatility. Silver is more volatile than gold. It tends to rise rather than fall.
Platinium: Platinum is another form of precious metal that's becoming increasingly popular. It's resistant to corrosion and durable, similar to gold and silver. It is, however, more expensive than its competitors.
Rhodium – Rhodium is used to make catalytic conversions. It is also used to make jewelry. It is relatively affordable when compared to other types.
Palladium (or Palladium): Palladium can be compared to platinum, but is much more common. It is also cheaper. It is a preferred choice among investors who are looking to add precious materials to their portfolios.
How Much of Your IRA Should Be Made Up Of Precious Metals
The most important thing you should know when investing in precious metals is that they are not just for wealthy people. They don't require you to be wealthy to invest in them. There are many ways that you can make money with gold and silver investments, even if you don't have much money.
You might consider purchasing physical coins, such as bullion bars and rounds. You could also buy shares in companies that produce precious metals. Or, you might want to take advantage of an IRA rollover program offered by your retirement plan provider.
You can still get benefits from precious metals regardless of what choice you make. Although they aren’t stocks, they offer the possibility for long-term gains.
Their prices rise with time, which is a different to traditional investments. This means that if you decide on selling your investment later, you'll likely get more profit than you would with traditional investing.
Statistics
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
External Links
wsj.com
- Saddam Hussein’s InvasionHelped Uncage a Bear In 1989 – WSJ
- Do you want to keep your IRA gold at home? It's Not Exactly Lawful – WSJ
