Bitcoin ‘After Dark’ ETF Targets Overnight Price Movement Gains

Bitcoin News

Tidal Trust II

regulatory paperwork Tuesday proposing an exchange-traded fund that would hold Bitcoin exclusively during non-market hours. The Nicholas Bitcoin and Treasuries AfterDark ETF would purchase exposure at U.S. market close and exit positions shortly after opening.

The SEC filing describes a strategy utilizing Bitcoin futures during overnight hours, closing positions after U.S. markets open each trading day. When using

underlying funds, the ETF buys securities at close and sells around open, capturing movement during off-hours periods.

Assets would rotate into U.S. Treasuries, money market funds, and cash equivalents during daytime trading. The approach attempts to harvest potential gains while avoiding intraday volatility through indirect Bitcoin exposure.

ETF analyst Eric Balchunas responded that research shows most

gains occur after traditional market hours. He clarified that this does not diminish ETF impact, noting that positioning relates to ETF activity and derivatives based on fund flows.

Balchunas suggested that an after-hours focused product could potentially deliver superior returns by concentrating on overnight price movements. The strategy represents an attempt to isolate a specific pattern in Bitcoin trading behavior.