SpaceX Leveraged ETF Frenzy Tops $1.3 Billion in Trading Two Days After Launch
Summary
- 2x leveraged ETFs tied to SpaceX are drawing market attention after posting explosive trading volumes immediately after launch.
- The SPCH ETF recorded $1.3 billion in trading on its second day alone, setting a record for second-day volume after an ETF launch.
- After SpaceX's $1.7 trillion Nasdaq listing, retail investor interest intensified, driving a rapid increase in related ETF and derivatives trading.
Forecast Trend Report by Period
Two 2x leveraged ETFs tracking Elon Musk's space company SpaceX are drawing intense investor interest, with trading volumes surging immediately after launch.
On June 16, Bloomberg ETF analyst Eric Balchunas wrote on X that trading in SpaceX leveraged ETFs had jumped from $1 billion to more than $3 billion in a single day.
SPCH stood out, posting $1.3 billion in trading on its second day alone. That marked the highest second-day trading volume ever for a newly launched ETF. The figure was well above the $500 million traded by BlackRock's IBIT on its second day, even though IBIT led the spot-Bitcoin ETF market.
Balchunas also wrote that every SpaceX leveraged ETF now on the market had recorded more than $100 million in trading volume. He said he had not expected demand to be this strong.
The frenzy accelerated after SpaceX listed on Nasdaq on June 12 at a valuation of about $1.7 trillion. Retail investor interest then intensified, driving a rapid increase in trading of related ETFs and derivatives.
Many had thought there would not be enough speculative investors to support so many leveraged ETFs at once, Balchunas added. The market has proved otherwise.
Suehyeon Lee
shlee@bloomingbit.ioI'm reporter Suehyeon Lee, your Web3 Moderator.
