Hong Kong recently introduced six new spot Bitcoin and Ethereum exchange-traded funds (ETFs), which saw trading volumes totaling HK$87.5 million ($11.2 million). This figure falls short of the impressive $4.6 billion in trading volume generated by the debut of 11 spot Bitcoin ETFs in the U.S.
Despite the excitement surrounding the ETF launches in Hong Kong, the market response has been somewhat muted. The data from the Hong Kong Stock Exchange (HKEX) reveals that the performance and interest in the ETFs managed by China Asset Management, Harvest Global, Bosera, and HashKey were relatively low on their debut.
For instance, the Bosera HashKey Bitcoin ETF only recorded HK$249,000 in trading volume on its first day, while the Bosera HashKey Ether ETF saw HK$99,000 in trading volume. On the other hand, the China Asset Management (CAM) Bitcoin ETF fared better, with HK$4.6 million in trading volume, and the CAM Ether ETF saw a similar trading volume.
As the ETFs made their entry into the Hong Kong market, Bitcoin’s price took a hit, dropping below $61,000 with a 2.3% decline in the past 24 hours and an 8% decrease over the last week.
Despite the introduction of these ETFs, the sentiment in the crypto market remains negative. Bitcoin experienced a downward trend after briefly reaching $67,000 last week. The failure to sustain this momentum led to a drop to $60,700, followed by a struggle to rally back above $64,800. This price action affected the overall crypto market, with the market capitalization decreasing by 3% to $2.35 trillion over the past 24 hours.
