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Supply Shock: Bitcoin ETFs Sucked up 9,000 BTC Daily While Only 450 Were Mined

Just under a whopping 9,000 BTC was accumulated by spot Bitcoin ETFs in the United States on Tuesday, Nov. 19.

This equates to around $814 million in total aggregate inflows across the eleven funds, 根据 to Coinglass.

Around 450 BTC are mined daily, which means that a huge supply shock is imminent if institutional funds continue to hoover up coins at current rates.

Moreover, the supply shock will be amplified by the halving effect, which reduced block rewards in April. This could induce a post-halving bubble, as it has in previous cycles.

Institutions Drive BTC to ATH

More than $1 billion has entered spot Bitcoin ETFs in just two days this week as market momentum continues. Tuesday was a bumper inflow day for Ark 21Shares, Fidelity, and BlackRock, with the three ETFs seeing inflows of $267.3 million, $256.1 million, and $213.5 million, respectively.

There were minor inflows for the Bitwise, Grayscale, and VanEck funds and no outflows for the second consecutive day of trading this week. This brings the total aggregate inflow for the products to $28.5 billion since they launched in January.

The demand for these products reinforces the notion that this rally is being driven by institutions, and retail has yet to come to the party.

Bitcoin hit an all-time high of a little over $94,000 during late trading on Tuesday but retreated to $92,320 during the Wednesday morning Asian trading session.

IBIT Options Launch

The launch of BlackRock iShares Bitcoin Trust (IBIT) options on Tuesday was also bullish, with almost $2 billion in notional exposure traded on the first day.

Analysts and experts have attributed this to the latest BTC price peak. “These options were almost certainly part of the move to the new Bitcoin all-time highs today,” commented Bloomberg ETF analyst James Seyffart.

Meanwhile, ETF Store president Nate Geraci added:

“Options add an entirely new dimension. Makes it much easier and more enticing for institutional investors to enter the arena.”

Until now, spot Bitcoin ETF options were only available outside of the United States. Their launch opens up the asset to the largest liquidity pool in the world, which could turbocharge BTC prices if the funds keep purchasing it to keep up with demand.

职位 Supply Shock: Bitcoin ETFs Sucked up 9,000 BTC Daily While Only 450 Were Mined 首次出现在 加密土豆.


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