According to a new report, Bitcoin ETF issuers are buying BTC 20 times faster than miners can produce it.
Collectively, they bought more than 9,000 on Friday (03) and Monday (06), with rates only increasing. This higher-spending frenzy persists despite Bitcoin’s recent drop, suggesting it will continue.
Bitcoin and ETF Issuers
Analysts noted that Bitcoin ETF issuers purchased over 9,000 BTC on Friday, January 3. This is a much higher rate than usual. On Monday, however, they increased this rate, purchasing over 9,600 BTC.
US spot Bitcoin ETFs have scooped up another (absolutely massive) 9,624 BTC. Remember, only about 450 are mined daily. This is the second trading day with purchases above 9,000. ‘Get some/get yours while you still can,’ said Shaun Edmondson.
Since the Bitcoin ETFs were approved, all 12 issuers have become some of the industry’s biggest “whales.” In October, they bought five times more BTC than the world’s mining production, and that number has only increased to over 20x.
Collectively, they owned 5% of the total supply in November and surpassed Satoshi's holdings soon after.
While IBIT’s Bitcoin ETF was recently called “the biggest launch in stock market history,” the market is still seeing teething problems heading into 2025. Last week, IBIT saw an outflow of $330 million, breaking its own record.
Other issuers faced similar difficulties. However, this bearish signal did nothing to stop the acquisitions.
For months, community members have worried that BlackRock and other ETF issuers would disrupt Bitcoin’s inherent decentralization. This accelerated buying trend is lending credence to those fears.
ETFs surpassed Satoshi's holdings a month ago, but analyst Eric Balchunas noted that they are already 4% of the way to surpassing the creator's BTC holdings.
In fact, this buying pressure could have a truly irrevocable impact on the crypto market. Just over two months ago, ETF issuers were mining five times the total output of Bitcoin miners.
Now, it is more than 20 times their production, and the bear market signals have only led to even greater buying. No measures currently exist to curb this growing trend.
The article ETFs Are Buying Bitcoin 20x Faster Than Total Mining Production appeared first on BeInCrypto Brasil.
