BlackRock's recent moves in the cryptocurrency market, as the investment giant withdrew 11,500 $BTC from the supply within just two days. The approach of buying the dip reflects confidence in the value of Bitcoin.
BlackRock's acquisition removed 11,500 BTC from the system in just two days, equivalent to roughly 13 days of the usual daily supply. The impact of BlackRock's iShares Bitcoin Trust (IBIT) was scrutinized. Despite managing only 25% of the volume over two days, when factoring in the influence of GBTC, an estimated 46,000 BTC may have been withdrawn. This suggests a potential signal of an impending supply crunch.
Assuming a sustained pace of 23,000 BTC per day; the supply consumption is approximately 25.56 times the daily production consumed by US ETFs alone, pointing towards a severe supply crunch on the horizon. If the ongoing trend of institutional accumulation continues, the market could be on the brink of an extreme supply crunch.
If the market is on the brink of an extreme supply crisis, it inevitably indicates a short-term rise in the price of Bitcoin 📈
