ProShares Bitcoin Strategy ETF (BITO) Surpasses $2 Billion in Assets, Sets All-Time Record

The ProShares Bitcoin Strategy ETF (BITO) recently achieved an all-time high, accumulating over $2 billion in assets.

BITO hits $2 billion, Hyman notes Bitcoin's steady rise

As of the market close on January 8, BITO recorded an asset value of $2,010,057,946, as confirmed by ProShares' global investment strategist, Simeon Hyman. The fund witnessed notable growth, expanding by 10% within the last week from $1.8 billion on January 2 and experiencing an 18% surge over the last month from $1.7 billion on December 9, 2023.

Hyman addressed the speculation surrounding Bitcoin's price appreciation, emphasizing that despite challenges such as crypto-related bank issues and rising interest rates in 2023, Bitcoin exhibited a consistent upward trend.

He also highlighted the complexities and expenses associated with gaining short exposure to cryptocurrencies, mentioning BITI and SETH as futures-based short Bitcoin and short Ether ETFs exclusively available in U.S. brokerage accounts. These ETFs cater to investors seeking profit opportunities during Bitcoin or Ether price declines.

Additionally, in December 2023, Cathie Wood's Ark Invest divested over $200 million in Coinbase shares through its ETFs and invested $92 million in BITO.

Data compiled by The Block revealed BITO's daily volume reaching $811.13 million on January 8, underscoring the fund's robust trading activity and investor interest.

The milestone of BITO exceeding $2 billion in assets highlights the growing popularity of Bitcoin-related investment instruments, showcasing the increasing acceptance of cryptocurrencies within the investment landscape.