Best crypto ETF by performance in 2024

Discover
the
top
5
crypto
ETFs
to
watch
in
2024.
Insightful
analysis
of
their
performance,
liquidity,
and
how
to
choose
wisely
in
a
dynamic
market.

After
the
U.S.
Securities
and
Exchange
Commission
(SEC)
approved
spot
Bitcoin
exchange-traded
funds
(ETFs)
on
Jan.
10,
2024,
the
crypto
market
has
seen
a
significant
upsurge. 
The
price
of
Bitcoin
(BTC)
soared
to
201%
higher
than
a
year
ago,
shattering
previous

all-time
highs
in
the
process. 

As
investors
eagerly
search
for
the
best
cryptocurrency
ETF
to
invest
in
2024,
the
question
arises:
among
the
top
crypto
ETFs,
which
is
the
best
performing,
and
which
holds
the
promise
to
continue
this
remarkable
growth? 

This
article
spotlights
the
top
5
crypto
ETFs,
aiming
to
guide
investors
toward
the
most
promising
and
best-performing
funds
in
this
landscape.
However,
remember,
this
is
not
financial
advice,
and
all
aspiring
investors
should
be
sure
to
do
their
own
research
and
talk
to
professionals
before
putting
money
into
any
crypto-related
investment.

What
is
a
cryptocurrency
ETF?

A
cryptocurrency
ETF
is
a
type
of
investment
vehicle
designed
to
track
the
performance
of
one
or
several

crypto
assets.
It
allows
investors
to
buy
digital
currencies
without
owning
the
assets. 

How
do
crypto-ETFs
work?
They
are
very
similar
to
traditional
financial
market
ETFs,
where
investors
can
buy
shares
of
stocks
or
commodities.
Their
profits
or
losses
depend
on
the
price
movement
of
these
shares,
which
is
determined
by
the
price
fluctuations
within
the
crypto
market. 

The
concept
of
blockchain
ETFs
has
captured
the
attention
of
investors
looking
for
dependable
and
mature
investment
avenues
in
the
market.
These
products
are
paving
the
way
for
the
widespread
acceptance
of
cryptocurrencies
by
addressing
various
challenges
that
have
hindered
their
mainstream
adoption.

Bitcoin
and
Ethereum
(ETH)
are
the
most
popular
ETF
cryptocurrencies,
mostly
because
the
SEC’s

approval
of
spot
BTC
ETFs
significantly
broadened
access
while
bolstering
its
legitimacy
as
an
asset
class.

Top
5
crypto
ETFs

Selecting
a
crypto
ETF
requires
even
more
careful
consideration
of
several
factors,
including
in-depth
chart
analysis
and
utilizing
aspects
of
the

CAN
SLIM
method
devised
by
William
J.
O’Neal
to
identify
the
highest-performing
stocks. 

A
robust
market
capitalization
and
ample
daily
average
volume
typically
signify
a
strong
and
liquid
ETF.
Many
experts
recommend
that
potential
crypto
investors
focus
on
leading
ETF
cryptocurrencies,
such
as
BTC
and
ETH,
which
have
shown
consistent
growth
and
adoption
rates.

The
price
of
an
ETF
cryptocurrency
can
be
influenced
by
myriad
factors,
including
shifts
in
supply
and
the
emergence
of
new
use
cases,
each
impacting
its
performance
differently.
It’s
also
crucial
for
investors
to
gauge
the
market
direction
accurately,
as
even
high-performing
stocks
can
falter
in
a
market
trending
downward.

Though
the
crypto
market
currently
showcases
an
optimistic
trend,
experts
caution
investors,
reminding
them
of
the
ongoing
worries
about
recession
risks
and
persistently
high
inflation.
Bearing
these
considerations
in
mind,
here
are
some
of
the
best
performing
crypto
ETFs
garnering
significant
interest
from
investors
as
the
year
unfolds:

ProShares
Bitcoin
Strategy
ETF
(BITO)

One
of
the
best
crypto
ETF
to
buy
now
is
the
ProShares
Bitcoin
Strategy
ETF
(BITO).
Not
only
does
it
stand
as
the
pioneering
BTC-based
ETF
in
the
U.S.,
but
is
also
one
of
the
most
liquid
ones
in
its
category
as
of
the
time
of
writing. 

Despite
its
higher
expense
ratio
of
0.95%,
in
the
last
three
months,
BITO
has
had
an
average
volume
just
north
of
18
million,
according
to

VettaFi,
making
it
one
of
the
good
crypto
ETFs
to
watch
for
investors
seeking
liquidity.

Additionally,
BITO
has
amassed
assets
under
management
(AUM)
valued
at
$2.04
billion
and
recorded
a
year-to-date
(YTD)
return
of
51.66%,
showcasing
its
robust

performance
in
the
dynamic
crypto
market.
With
such
attributes,
BITO
could
likely
earn
a
place
among
many
investors’
top
5
crypto
ETFs.

iShares
Bitcoin
Trust
(IBIT)

Managed
by
BlackRock,
the
iShares
Bitcoin
Trust
ETF
(IBIT)
has
rapidly
established
itself
as
one
of
the
good
crypto
ETFs
to
watch
in
2024.
Launched
earlier
in
the
year,
IBIT
facilitates
investment
in
BTC
via
conventional
brokerage
accounts,
marrying
the
allure
of
cryptocurrency
with
the
reliability
of
traditional
investment
structures. 

Distinguishing
itself
with
AUM
of
$16.5
billion,
this
fund
has
seen
exponential
growth
and
set
unprecedented
benchmarks
in
the
ETF
space
within
a
short
span. 

Just
weeks
into
its
debut,
its
managed
assets
surged
past
$10
billion,
underscoring
its
overwhelming
acceptance
and
the
dynamic
expansion
of
the
crypto
ETF
market.

A
particular
highlight
was
a
week
in
February,
during
which
IBIT
captured
a
hefty
$3.3
billion
in
fund
inflows,
spurred
by
a
simultaneous
rally
in
BTC
prices
and
mounting
investor
enthusiasm. 

Initially,
BlackRock
enhanced
this
momentum
by
temporarily
halving
its
fees
from
0.25%
to
0.12%,
offering
a
more
enticing
expense
ratio.
This
move,
coupled
with
its
significant
AUM,
makes
a
strong
argument
for
putting
IBIT
on
the
crypto
ETF
list
of
2024,
offering
a
blend
of
substantial
growth
potential
and
cost
efficiency
for
those
looking
to
venture
into
crypto
investments.

Grayscale
Bitcoin
Investment
Trust
(GBTC)

Launched
in
2013,
the
Grayscale
Bitcoin
Trust
(GBTC)
initially
carved
a
niche
within
the
BTC
investment
space
as
a
vehicle
offering
over-the-counter
trading
opportunities.

Its
evolution
took
a
significant
leap
forward
when,
in
January
2024,
it
successfully
transitioned
into
a
Bitcoin
ETF,
securing
approval
from
the
SEC.
This
marked
a
monumental
stride
in
its
progression
and
further
solidified
its
position
in
the
crypto
investment
landscape. 

Notably,
the
ETF
has
emerged
as
one
of
the
top
assets
by
YTD
performance,
boasting
a
return
of
67.59%
and
a
one-year
daily
total
return
of
317.61%
per

data
from
Yahoo
Finance.

GBTC
stands
out
for
its
performance
and
liquidity,
with
an
average
daily
volume
of
16
million
shares
traded
and
its
substantial
scale,
managing
one
of
the
largest
AUM
in
its
class
at
$18.82
billion.

While
its
fee
structure,
with
a
1.5%
annual
management
fee,
is
on
the
higher
side
relative
to
other
offerings,
GBTC’s
leading
performance
indicators
and
significant
liquidity
make
it
one
of
the
best
crypto
ETF
to
buy
now.

Its
large
AUM
and
performance
metrics
underscore
the
trust’s
foresight
and
commitment
to
providing
an
infrastructure
for
Bitcoin
investing,
reassuring
investors
seeking
a
well-established
entry
point
into
the
crypto
market.

Fidelity
Wise
Origin
Bitcoin
Fund
(FBTC)

Unlike
fellow
asset
manager

Vanguard,
Fidelity
Investments
embraced
the
crypto
revolution,
launching
its
own
Bitcoin
ETF,
FBTC,
and
ensuring
it
was
readily
tradable
on
its
platform. 

This
strategic
move
mirrored
the
success
of
BlackRock’s
iShares
Bitcoin
Trust,
with
FBTC
quickly
amassing
over
$1
billion
in
inflows
shortly
after
its
launch.

Fidelity’s
decision
to
reduce
the
expense
ratio
to
0.00%
until
August
1,
2024
was
a
notable
draw
for
investors.
Currently,
FBTC
boasts
AUM
valued
at
$9.71
billion.

This
combination
of
a
zero
expense
ratio
and
substantial
assets
under
management
showcases
FBTC’s
appeal
and
firmly
positions
it
on
our
best
crypto
ETF
list.

Bitwise
Bitcoin
Strategy
Optimum
Roll
ETF
(BITC)

Despite
having
one
of
the
lower
AUM
figures
and
average
daily
volumes
in
its
category,
the
Bitwise
Bitcoin
Strategy
Optimum
Roll
ETF
distinguishes
itself
as
one
of
the
standout
performers
of
2024
within
the
alternative
ETFs
sector,
according
to
VettaFi
data. 

With
a
YTD
return
of
72.71%,
BITC,
an
offering
from
Bitwise
Asset
Management
—
a
leader
in
crypto
index
funds—
has
secured
its
position
among
the
best
performing
crypto
ETFs. 

The
ETF’s
strategy
focuses
on
capital
appreciation
through
managed
exposure
to
Bitcoin
futures,
aiming
for
directional
exposure
to
the
coin
via
regulated
futures
contracts
while
optimizing
potential
roll
returns
through
strategic
futures
market
analysis. 

Despite
its
relatively
modest
size,
with
an
AUM
of
$4.5
million,
an
average
daily
volume
of
13,144,
and
an
expense
ratio
of
0.85%,
BITC
has
proven
its
mettle
by
leveraging
its
performance
metrics.

How
to
find
the
best
ETFs

To
find
the
top
blockchain
ETFs,
investors
should
consider
factors
such
as
solid
performance
and
trading
volume,
exposing
themselves
to
the
broad
crypto
market
or
specific
digital
coins,
and
opting
for
ETFs
with
low
fees. 

Looking
out
for
ETFs
with
a
significant
trading
volume
(at
least
50,000
shares
a
day)
and
those
with
a
strong
track
record
in
returns,
specifically
in
major
cryptocurrencies
like
BTC
and
ETH,
may
be
advisable. 

Additionally,
choosing
ETFs
from
reputable
providers
with
assets
over
$10
million
could
help
reduce
risks.
However,
it’s
essential
to
be
mindful
of
the
high
volatility
in
the
cryptocurrency
market,
management
fees
that
could
impact
overall
returns,
and
the
current
limited
options
in
blockchain
ETFs,
mainly
confined
to
significant
cryptocurrencies.

FAQ