Home » Bitcoin First US Bitcoin ETF a ‘dud’ in 2021 as GBTC discount stays near record lows Bitcoin Reading 2 min Views 3 There’s little to smile about when it comes to institutional participation in Bitcoin at the end of the year, data shows. Bitcoin (BTC) institutional demand is conspicuously wanting at the end of the year as data flags the “underperformance” of the United States’ first Bitcoin futures exchange-traded fund (ETF). As noted by markets commentator Holger Zschaepitz on Dec. 29, the ProShares Bitcoin Strategy ETF (BITO) is now trading at nearly 30% below its launch price. Anticlimax rounds out 2021 for ProShares ETF In a sign of the times regarding Bitcoin sentiment, the hype that accompanied BITO’s launch in Q3 has died down considerably. Going from record-breaking volume on its first day to its current state, the ETF has even underperformed the embattled Bitcoin spot price in 2021. “The first Bitcoin futures ETF in the US was a dud, at least this year,” Zschaepitz commented. ProShares Bitcoin Strategy ETF (BITO) vs. BTC/USD normalized chart. Source: Holger Zschaepitz/Twitter Meanwhile, as Cointelegraph reported, the Grayscale Bitcoin Trust (GBTC) continues to trade at its biggest-ever discount to Bitcoin spot price, or net asset value. GBTC’s conversion to an ETF, slated for next year, meanwhile, depends on the tone of U.S. regulators regarding spot-based products, these are yet to debut. GBTC price vs. holdings vs. GBTC premium chart. Source: Coinglass Eerie all-time highs persist in stocks While detractors describe the GBTC discount as “very concerning,” activity from investors themselves does not unanimously point to apathy when it comes to Bitcoin. Morgan Stanley upped its GBTC allocation this month and last in a sign that longer-term sentiment remains strong. 📈 As 2021 draws to a close, the $SPX is nearing a 92-year log-scale resistance line, which has the potential to be a formidable barrier given that it is based off of the index's 1929 and 2000 peaks. ~ Reuters pic.twitter.com/khK1e09vCA — PiQ (@PriapusIQ) December 28, 2021 Macro markets, meanwhile, display curious characteristics. The S&P 500 is at record highs, challenging a trendline that has marked topside resistance since its inauguration almost 100 years ago. Below the surface, however, all is not as it seems, warnings revealed this week.