By
Steve Muchoki
July 1st, 2024
All of the spot Bitcoin ETFs globally collectively hold 1,002,343 BTC, or 5.08% of the current circulating supply of coins, which is 19,704,484.
The spot Bitcoin ETFs continue to hit new milestones with inflows resuming again in the past two weeks. In the latest development, the total holdings of the BTC ETFs have crossed over 1 million.
Earlier this year on January 11, the US SEC approved the spot Bitcoin ETFs. Within three months of launch, these ETFs have scooped more than 855,619 Bitcoin, while accumulating an average of 6,200 BTC per day.
As per the data shared by HODL15Capital, other 21 exchange-traded products from regions like Germany, Canada, Brazil, etc. have accumulated over 150,000 Bitcoins taking the the total number to more than $1 billion, worth a staggering $68 billion. As a result, all of the spot Bitcoin ETFs globally collectively hold 1,002,343 BTC, or 5.08% of the current circulating supply of coins, which is 19,704,484.
These ETFs facilitate access to Bitcoin for large institutions as well. First-quarter reporting data indicated that more than 20% of exposure to US spot Bitcoin ETFs was held by large investors and institutions with combined assets surpassing $100 million. This diverse group includes hedge funds, banks, and even the Wisconsin state pension fund.
Grayscale vs BlackRock
Despite massive outflows, the Grayscale Bitcoin ETF GBTC still retains its spot as the largest Bitcoin fund currently in the market. As of now, GBTC holds 289,040 Bitcoins worth around $19.9 billion. Grayscale has lost nearly 53% of its Bitcoin holdings, or 330,960 BTC, in the last three months since the ETF launch.
It faces swift competition from BlackRock’s iShares Bitcoin Trust (IBIT), boasting 287,168 BTC valued at approximately $19.8 billion. If inflows to IBIT remain steady and GBTC continues to experience outflows, IBIT may surpass GBTC’s holdings this week.
In a separate X post on May 28, HODL15Capital raised concerns about whether ETFs were impeding the growth of Bitcoin held in self-custody. A chart depicting BTC holdings across different addresses reveals stagnant growth in self-custody from 2023 to 2024. Similarly, there was no growth observed between 2017 and 2018, according to the chart. According to LookIntoBitcoin, only 1 million addresses hold 1 BTC or more.
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Photo: HODL15 Capital
BTC Price Action
On Monday, March 27, the Bitcoin bulls made a brief attempt to take the price past $70,000. However, it could sustain at that point for more time with the BTC price dropping under $68,000 once again.
On the downside, $66,000 remains a crucial support for Bitcoin. If the BTC price drops further, it can open that gate for $60,000 on the downside.