Title: Grayscale ETF Exits with over $2 Billion, GBTC Experiences Massive Redemptions in Six Trading Days
According to LookOnChain, Grayscale currently holds 566,973 BTC, a decrease of approximately 52,227 BTC (about $2.14 billion) since the ETF was approved. Other issuers’ Bitcoin holdings are as follows: BlackRock holds 33,431 BTC (about $1.37 billion), Fidelity holds 24,857 BTC (about $1.02 billion), and Bitwise holds 10,152 BTC (about $415.6 million).
Based on analysis by Bloomberg ETF analyst Eric Balchunas, among all Bitcoin spot ETF products, there has been a total inflow of $1.1487 billion in the past six trading days (excluding the outflows from GBTC, the inflow is $3.9556 billion). There were two days of net outflows during this period.
As the redemption of Bitcoin assets from GBTC has been seen as a key factor causing the lackluster coin price, many believe that the Bitcoin price will remain stagnant or continue to decline until the selling pressure from GBTC subsides.
Ignoring the lower redemption levels on the first day, the average outflow from day 2 to day 6 was $542.36 million. Currently, the asset value of GBTC is $22.9432 billion. If the average redemption level continues, there will be at least 42.3 trading days remaining. In other words, it is not until late March that the selling pressure may stop.
This aligns with the belief of many that there will be a significant correction in the first quarter.
According to Arthur Hayes, cryptocurrency and market predictions for March 2024, Bitcoin will experience a 30-40% correction.
BitMEX founder predicts that the price will drop below $40,000 and has already bought put options for March 29.
Related Reading:
– SEC Officially Files Lawsuit Against Ripple and Two Executives for Selling $1.3 Billion in Unregistered Securities and Market Manipulation
– Jack’s Trading Classroom: Perspectives on BTCUSD’s Avalanche-Like Decline