Global Bitcoin ETF Close To Stacking 1M BTC, Bullish For BTC Price?

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As a researcher with extensive experience in the cryptocurrency market, I am thrilled to observe the significant progress made by global Bitcoin ETFs, which are on the verge of accumulating one million BTC. The recent surge in U.S. Spot Bitcoin ETFs and massive institutional adoption have played pivotal roles in this impressive development.

Reaching a significant achievement in the crypto sphere, international Bitcoin Exchange-Traded Funds (ETFs) are on the verge of accumulating an impressive hoard of approximately one million Bitcoins. The surge in US Spot Bitcoin ETFs has significantly increased the global reserve size. Furthermore, the massive influx of institutional investors into these financial instruments is contributing to this event.

Global Bitcoin ETF Reserve Nears 1M BTC

According to recent updates, US Bitcoin exchange-traded funds (ETFs) have amassed approximately 850,707 Bitcoins since their launch in January this year. Among these, Grayscale’s GBTC ETF holds the largest stake with around 289,280 Bitcoins despite a decrease from its initial holding.

Significantly, the BlackRock iShares Bitcoin Trust (IBIT) has experienced extraordinary growth since its inception, increasing its holdings from an initial 225 Bitcoin to a substantial 283,203 Bitcoin. In the United States market, other notable players include Fidelity’s Wise Bitcoin ETF with 160,620 Bitcoin and Ark 21Shares ETF (ARKB) with 48,414 Bitcoin. Smaller entities such as Bitwise BTC ETF (BITB), VanEck Bitcoin Trust (HODL), and Valkyrie BTC ETF (BRRR) have also made considerable contributions, holding reserves of 36,092 Bitcoin, 9,729 Bitcoin, and 8,561 Bitcoin, respectively.

As a researcher, I’ve come across several Bitcoin exchange-traded funds (ETFs) with notable holdings. Invesco Galaxy’s BTCO ETF, Franklin Templeton’s EZBC, WisdomTree’s BTCW, and Hashdex’s DEFI collectively manage significant reserves of Bitcoin. The BTCO, EZBC, BTCW, and DEFI funds hold 7,245 BTC, 6,148 BTC, 1,237 BTC, and 178 BTC respectively.

In the international marketplace, a combined total of 986,769 Bitcoins has been acquired through Bitcoin Exchange-Traded Products (ETPs). Among these, Canada’s Purpose Bitcoin ETF holds the largest share with 27,407 Bitcoins. The ETC Group Physical Bitcoin Fund from Germany comes in second with a reserve of 20,808 Bitcoins. More recently, Hong Kong’s Bitcoin ETFs have accumulated 3,608 Bitcoins.

Will BTC Price Rally?

The strong institutional demand for Bitcoin is a positive indicator for its price trend. Furthermore, if a million Bitcoins are held in ETFs, there could be a supply shortage and drive up the BTC price even more. Crypto analyst Michaël van de Poppe shares this perspective.

He anticipates a return to the $68,000 level for Bitcoin before it resumes its upward trajectory based on his analysis in a recent post on X. The overall trend remains bullish.

Presently, Bitcoin (BTC) is exhibiting lateral movement in the market as investors’ attention has moved towards Ethereum (ETH) ahead of the May 23 ETF decision. At present, Bitcoin’s price stands at a decrease of 0.06% or $418.96 to reach $69,937.04 on May 23, Thursday, while its market capitalization amounts to $1.37 trillion.

In the last 24 hours, significant liquidation events amounting to $14.46 million were observed for Bitcoin. This heavy selling pressure may cause a temporary drop in Bitcoin’s price. On a positive note, Bitcoin futures open interest increased by 0.68% to reach $35.26 billion as of Coinglass data.

As an analyst, I’ve noticed that the Bitcoin Relative Strength Index (RSI) has jumped from a level of 48 recently up to 61. This signifies that the cryptocurrency might be overbought and could potentially lead to a sell signal in the near future due to its overbought condition. Consequently, it may not be advisable to enter the market at this moment given the potential risks.

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2024-05-23 15:44