Bitcoin ETFs are sucking up 10X more BTC than miners can produce

Over the last two trading days, inflows into Spot Bitcoin ETFs have surpassed the amount of production from miners by over 10 times.

On Monday, February 12, spot Bitcoin exchange-traded funds (ETFs) acquired ten times more Bitcoin than the amount that miners could create.

As of February 12, at least $493.4 million, or about 10,280 Bitcoin, have entered spot Bitcoin ETFs, according to preliminary figures.

The majority went to BlackRock's iShares Bitcoin Trust, which received an incredible $374.7 million. In the meantime, $151.9 million came into Fidelity's Wise Origin Bitcoin Fund, of which $40 million went into the Ark 21Shares Bitcoin ETF. Grayscale outflows of $95 million and $20.8 million from the Invesco Galaxy ETF slightly offset this, though net inflows were almost half a billion dollars.

According to Blockchain.com, Bitcoin miners generated about 1,059 BTC worth about $51 million on the same day. This is only 10% of the total amount of BTC that spot ETFs are grabbing.

A comparable pattern was also noted on February 9, when a total of 12,700 BTC, or $541.5 million, were deposited into the ETFs in aggregate, compared to 980 BTC worth around $45 million added through mining.

With $250.7 million invested, BlackRock took the lead, followed by Fidelity once more with $188.4 million. Large inflows of $136.5 million were seen in Ark 21Shares, while Grayscale withdrawals dropped to $51.8 million, the lowest amount for the week, resulting in the bumper day of aggregate inflows.

During an interview on CNBC's Squawk Box on February 12, Anthony Pompliano, one of the pioneers of Bitcoin, stated that "Wall Street loves Bitcoin."

“There is 12.5x more demand for Bitcoin than what is being produced on a daily basis.”

Around 80% of the total supply has not moved in the past six months, he continued by saying that just about $200 billion of the overall supply is marketable, meaning that these ETFs "have sucked up 5% of the entire tradable supply of Bitcoin in 30 days.