Surge in US Bitcoin spot ETF trading as Bitcoin rebounds… IBIT trades $3.7 billion in a day

Bitcoin prices rebounded immediately after a sharp plunge, leading to a surge in trading of Bitcoin spot exchange-traded funds (ETFs) in the U.S. market.

On the 2nd (local time), according to CoinDesk, BlackRock's 'IBIT' posted one of the top trading volumes among all U.S. ETFs that day. IBIT's trading value was about $3.7 billion, surpassing Vanguard's flagship S&P 500-tracking ETF 'VOO' ($3.28 billion).

IBIT, which was launched less than two years ago, has net assets of $66.3 billion, making it the largest contributor to revenue among BlackRock's ETFs. BlackRock manages more than 1,400 ETFs, and its total assets under management (AUM) amount to $13.4 trillion.

Related companies' stock prices also rebounded across the board. MicroStrategy (MSTR), which holds 174,000 bitcoins, rose 6%. Robinhood (HOOD) rose 2%, Bullish (BLSH), the parent company of CoinDesk, rose 5%, and USDC issuer Circle (CRLC) rose 4%.

Meanwhile, Coinbase (COIN) fell 5%. This follows a lawsuit filed earlier by some shareholders against management alleging they "sold overvalued shares for years after listing, deceiving investors."

The mining sector remained weak. Iren (IREN) plunged 15%, Cipher Mining (CIFR) fell 10%, and Terawulf (WULF) dropped 7%.