JPMorgan Bitcoin ETFs Liquidity Study Favors BlackRock, Fidelity

The Bitcoin exchange-traded funds started by BlackRock Inc. and Fidelity Investments are gaining a liquidity edge over a larger rival from Grayscale Investments LLC, according to JPMorgan Chase & Co. strategists.

The BlackRock and Fidelity portfolios are among nine new US spot Bitcoin ETFs that began trading on Jan. 11. The more than decade-old Grayscale Bitcoin Trust — the largest fund dedicated to the token — converted into an ETF the same day. The issuers are now vying for a competitive advantage to woo investment.

BlackRock’s iShares Bitcoin Trust and the Fidelity Wise Origin Bitcoin Fund scored better on ...